Panama Canal delays implementation of LoTSA to October 2024

The Panama Canal Authority has issued advisory No. A-30-2024, dated August 26, 2024, announcing a postponement in the implementation of its new Long-Term Slot Allocation (LoTSA) methodology.

This decision comes after feedback from several customers in the full container market segment, who requested more time to thoroughly evaluate the new initiative. In response to these concerns, and to promote broader participation and ensure the success of the LoTSA methodology, the ACP has delayed the start date to October 1, 2024. This postponement applies to all market segments except for LNG (Liquefied Natural Gas) and LPG (Liquefied Petroleum Gas).

The LoTSA methodology introduces a new system for reserving transit slots through the Panama Canal, aiming to improve efficiency and predictability for shipping companies. The first sealed bidding process under this system, covering booking dates from January 5, 2025, to January 3, 2026, will still be conducted as scheduled. Customers who secure slots through the LoTSA method will be required to make payments in U.S. dollars, either in cash or by posting a bank guarantee, no later than 96 hours before their scheduled transit.

All other details from previous advisories (A-25-2024 and A-29-2024) remain unchanged. The ACP has updated the terms and conditions for the LoTSA initiative, and these updates are available on the Panama Canal’s official website. For further information or specific inquiries, stakeholders are encouraged to contact the Operation Services Management Office via the provided email address. The announcement was officially signed by Boris Moreno Vásquez, Vice President for Operations at the ACP.