Earlier today the Panama Canal Authority (ACP) announced the introduction of a Long-Term Slot Allocation (LoTSA) method for Neopanamax vessels. This initiative is part of the transit booking system that aims to enhance transit certainty and flexibility for shippers. Currently, the slot offering in the transit booking system is done daily with an anticipation period before the required transit date.
LONG-TERM SLOT ALLOCATION (LOTSA)
The LoTSA method will offer several transit booking slot packages for January of the following year to different market segments. Each package will include a specific number of slots available on a weekly or monthly basis per year, accommodating both northbound and southbound transits. Slots will be awarded to the highest bidder through an auction.
PANAMA CANAL NEARING NORMAL LEVELS AND INCREASING TRANSIT VOLUME
Water levels in Gatun Lake, which is the reservoir that provides water for the Canal, have been rising due to a healthy rainy season. In response to the increasing water levels, the Panama Canal Authority increased the total number of transits to 34 per day effective July 22, 2024. ACO administrators indicated they will add one additional slot next week, bringing the total to 35 daily transits as of August 5. In September, another slot will be added bringing the total to 36 daily transits.
The Panama Canal Authority previously stated its goal of returning to 36 to 39 daily transits between the newer Neopanamax and original Panamax locks. During the peak of the water crisis, the Panama Canal Authority reduced the number of daily transits to 22.
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