Panama is beginning to consolidate a new cycle of investment in the electricity sector. The awarding of renewable energy contracts through long-term tenders held during the first quarter of 2026, along with the expectation of specific regulations for energy storage, are shaping a market where the construction of new generation plants will coexist with the modernization of existing infrastructure.
“Panama held two tenders in March 2026, which saw a large number of bids, and others are expected soon. Knowing that the awards from these tenders will enable the development of power generation plants, we at CFS recognize that we have the opportunity to support these new projects from the design of their substations and equipment acquisition to commissioning,” said Lorena Pérez , CFS Commercial Manager in Panama , in an interview with Energía Estratégica .
The political climate also plays a role in understanding the market. The sales manager believes that being in the middle of the government's term offers more leeway to conduct tenders, publish methodologies, and ensure the continuity of investments .
Along with new renewable energy projects, battery storage is emerging as the next frontier for the Panamanian electricity market . However, the development of battery systems still hinges on a key definition: the methodology that will determine how the services provided by these assets will be remunerated.
Pérez is familiar with the process from her experience in both the private and public sectors. “ It’s a work in progress, and in conversations we’ve had with several power generation companies and industries, they’ve indicated great interest in this technology, but at the same time, it’s necessary to understand all aspects of it, ” the executive explained.
While awaiting those conditions, some companies are beginning to analyze internal applications . The initial objective wouldn't necessarily be to capture market revenue, but rather to test battery performance, train their staff, and understand how this technology interacts with their existing power generation plants. " What we have seen in our meetings with generators is an intention to conduct pilot projects ," Pérez revealed.
CFS, with an injection of resources in Panama, plans its expansion outside of Costa Rica
In this context, CFS is operationally strengthening its Panama headquarters as part of its regional strategy . The company is celebrating its 30th anniversary and is undergoing an expansion process with operational offices in Guatemala, El Salvador, and the Dominican Republic. It is contributing its expertise in electrical substation integration and, above all, its specialization in Protection, Control, and Measurement (PC&M).
Although CFS has been operating in Panama for about eight years, its activity has been primarily focused on supplying industrial clients and some power generators. The new strategy aims to deepen its contribution to the interconnection of generation projects to the transmission grid and consolidate long-term business relationships .
“ Panama is a country with a lot of investment, we believe in Panama, important projects are coming to be developed, that is why CFS is betting on Panama ,” the commercial manager emphasizes.
In terms of power generation, the proposal encompasses all aspects of electrical infrastructure for facilities using any type of energy source: photovoltaic, hydroelectric, wind, and thermal. Large consumers include industries, ports, and other companies with electricity demands exceeding those of conventional consumers, while the utilities sector includes the country's distribution companies.
Old plants and new projects: two simultaneous businesses
The opportunity CFS sees is not solely linked to the power plants that will emerge from the new tenders. “ There are plants that are already more than ten years old and want to modernize, or already have equipment that needs overhaul or monitoring ,” Pérez noted.
At the same time, the same groups that own these assets are moving forward with new developments to expand their portfolios and maintain their market share. This coexistence necessitates allocating capital between maintenance, technological upgrades, and construction.
For existing assets, the company offers annual maintenance, monitoring, and equipment upgrades. For projects that could become operational within two or three years, it seeks to participate from the early stages through substation design, engineering, and component supply .
CFS's model aims to differentiate itself from a business limited to simply selling equipment. The company presents itself as an integrator that identifies the problem, analyzes alternatives from different manufacturers, and structures the technical solution for each installation. " We're not tied to any one supplier; we focus on the best solution the client needs. That's our work dynamic, which is why we consider our suppliers strategic partners," Perez stated.
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“ Often, clients don’t recognize they have a problem or aren’t entirely clear on its magnitude and how to solve it ,” he noted. Based on this diagnosis, CFS seeks to build relationships that continue after each intervention. The goal is to support the entire asset lifecycle, from engineering and supply to maintenance and future upgrades.
CFS's strategy also relies on the experience of its commercial manager. Pérez has experience in both power generation companies and the public sector , a combination that allows him to identify opportunities from the perspectives of business strategy, plant operations, and regulatory development.
His experience in energy sector companies provides him with knowledge of the purchasing, maintenance, and decision-making processes of power generators. His government experience, meanwhile, allows him to interpret regulatory timelines and the conditions required by emerging technologies such as battery energy storage.
CFS will bring the sector together to discuss asset reliability
As part of this strategy, CFS will organize the Reliability and Electrical Asset Management Forum on July 16, 2026 , which will take place between 8:30 a.m. and 2:00 p.m. at the Sheraton Hotel in Panama City.
The meeting will focus on reducing failures, optimizing investments, and improving operational continuity . The agenda will include topics related to measurement, protection, real-time monitoring, and predictive maintenance.
Following the reception, CFS will present its experience as a regional company specializing in electrical engineering. This will be followed by a presentation on partial discharges by its partner, BlueBox , covering everything from measurement to their application in improving operational reliability.
The program will continue with a session dedicated to Disturbance Direction Detection and power quality events , focusing on advanced metering technologies for the electrical grid. After the break, intelligent monitoring through real-time supervision and data analysis will be discussed.
Another discussion will address transformer management and fault anticipation through electrical analysis . The final technical presentation will focus on digital relays for network protection, control, and automation, before the networking lunch.
The forum will feature the participation of specialists and companies such as Schneider Electric, ENGIE, Dynamox, BlueBox Technology and Rugged Monitoring , among other players linked to the monitoring, automation and management of electrical infrastructure.
For CFS, the event will serve as a platform to bring together manufacturers, operators, authorities, and major consumers. The company hopes to gather technical experts and decision-makers to discuss how to extend asset lifespan and reduce operational risks .
The sales manager argues that the direct presence of suppliers allows customers to meet those who develop each solution, raise specific problems, and compare value propositions.
In this way, the forum summarizes the positioning that CFS seeks to build in Panama: to integrate technology, regional knowledge and local relationships in a market that will have to develop new power plants, modernize assets and prepare the rules for storage almost simultaneously.
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