Panamanians protest vs canal reservoir project over forced displacement concerns

Communities facing relocation reject government plans to expand water infrastructure for the canal, saying their homes and ancestral ties cannot be sacrificed.

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Around 300 Panamanians marched in Panama City on Monday, August 3 to oppose plans to build a new reservoir for the Panama Canal, a project that would require the relocation of thousands of residents and the removal of community cemeteries.

The protest was led by residents from communities along the Indio River, where the Panama Canal Authority (ACP) plans to construct a reservoir to secure the canal’s water supply amid increasing drought risks. The canal relies on freshwater stored in artificial lakes to operate its lock system.

The proposed project is expected to affect around 2,000 people living in the area, with government plans for resettlement scheduled to begin next year.

“They won’t get us out, whether we’re alive or dead,” protest leader Maricel Sanchez said during the demonstration outside the Supreme Court, where she read a statement on behalf of affected communities.

Residents have opposed the project, arguing that it threatens their homes, livelihoods, and historical ties to the territory. The first relocation is expected to take place in El Limon de Chagres, where preliminary construction work for the reservoir is set to begin. Community cemeteries in the area would also need to be closed, with remains exhumed and transferred.

Attorney Tristan Santander said a legal motion had been filed before the court seeking to overturn the government order authorizing the exhumation and relocation of bodies.

The Panama Canal Authority has defended the reservoir project as necessary to ensure the long-term operation of one of the world’s most important shipping routes, particularly as climate change and prolonged droughts threaten water availability.

However, affected communities and activists argue that the project prioritizes global trade interests over the rights of local residents, demanding greater consultation, protection of their communities, and respect for their connection to the land.

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