Panama Canal expansion plan may displace thousands

To address recurring water shortages, Panama plans to build a dam and reservoir that could displace more than 2,000 residents along the Río Indio.

Sachi Kitajima Mulkey reports for Grist.

In short:

• Panama is moving forward with a $1.6 billion plan to dam the Río Indio and build a reservoir to supply water to the Panama Canal and growing urban areas.
• The project would displace more than 2,000 people and affect 12,000 more, many of whom are farmers, with plans for compensation under negotiation.
• Environmental concerns and local protests have risen, with many fearing the social and ecological impacts of the displacement and construction.

Key quote:

“I think there’s often a better alternative than building a new dam, but obviously dams are still going to be built.”

— Heather Randell, an assistant professor of global policy at the University of Minnesota

Why this matters:

Panama's reliance on the canal for global trade and urban water access clashes with the potential displacement of communities, raising concerns about equitable solutions amid climate pressures.

Related EHN coverage:

• The planet is losing free-flowing rivers. This is a problem.
• Amazon's new dam raises alarms for nature and culture