Panama Canal releases tender for Port Of Corozal container terminal project
The Panama Canal has published the tender documents for building and running a container terminal for the Port of Corozal on the Pacific end of the inter-oceanic waterway.
ACP, the government agency responsible for managing the Canal, has been instructed by the Canal’s Board of Directors to proceed with the bidding process for the 20-year concession.
The tender documents state the terms and requirements that eligible bidders must meet to win the contract for the planned terminal on the east bank of the Canal’s Pacific entrance.
Four companies are pre-qualified to compete for the tender – APM Terminals (of the Netherlands); Terminal Investment Limited (also of the Netherlands); Terminal Link (of France); and PSA International (of Singapore).
Those four, which were whittled down from seven in April, have until February 3, 2017 to submit their proposals.
It is envisaged that the 5.3m teu terminal will be developed in two phases and will follow green principles to be environmentally friendly with low noise and air pollution levels and with minimal impact on nearby communities.
I very much doubt that it will have 5.3m TEU capacity, it will be restricted by yard space and shape – like many other ineffective terminals. But it will probably handle 3.6m TEU comfortably.
Problem then is, with Balboa and Rodman also, the Pacific Coast of Panama will have around 9.1m TEU of capacity for a present demand of 3.8m TEU. There will also continue to be competition from from Panama’s neighbouring countries.
A 20-year concession is also short by global standards. The location is highly questionable, not only close to urban dwellings, but with a turning basin directly in front of Coccoli locks. There is already severe channel congestion and ridiculous restrictions. Although a rail connection would be required, it would have been better placed on the ocean side of the Bridge of Americas on the northern bank of the Canal approach channel.