Villagers are wary of plans to dam a river to ensure Panama Canal’s water supply

Villagers are wary of plans to dam a river to ensure Panama Canal’s water supply
Above, locals commute along the Indio River near El Jobo village in Panama. El Jobo could lose reliable access to water under a proposed plan to dam the river to secure the Panama Canal’s uninterrupted operation. (AP)
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Updated 23 October 2024
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Villagers are wary of plans to dam a river to ensure Panama Canal’s water supply

Villagers are wary of plans to dam a river to ensure Panama Canal’s water supply
  • Proposed dam would secure the water needed to ensure the canal’s uninterrupted operation at a time of increasingly erratic weather
  • But it also would flood villages, where about 2,000 people would need to be relocated, and curb the flow of the river to other communities downstream

EL JOBO, Panama: A long, wooden boat puttered down the Indio River’s chocolate waters carrying Ana María Antonio and a colleague from the Panama Canal Authority on a mission to hear directly from villagers who could be affected by plans to dam the river.
The canal forms the backbone of Panama’s economy, and the proposed dam would secure the water needed to ensure the canal’s uninterrupted operation at a time of increasingly erratic weather.
It also would flood villages, where about 2,000 people would need to be relocated and where there is opposition to the plan, and curb the flow of the river to other communities downstream.
Those living downstream know the mega-project will substantially alter the river, but they hope it will bring jobs, potable water, electricity and roads to their remote communities and not just leave them impoverished.
“We, as the Panama Canal, understand that many of these areas have been abandoned in terms of basic services,” Antonio said.
The canal
The Panama Canal was completed in 1914 and generates about a quarter of the government’s budget.
Last year, the canal authority reduced the number of ships that could cross daily by about 20 percent because rains hadn’t replenished the reservoirs used to operate the locks, which need about 50 million gallons of fresh water for each ship. It led to shipping delays and, in some cases, companies looking for alternatives. By the time restrictions were lifted this month, demand had fallen.
To avoid a repeat due to drought exacerbated by climate change, the plan to dam the Indio River was revived.
It received a boost this summer with a ruling from Panama’s Supreme Court. For years, Panama has wanted to build another reservoir to supplement the main supply of water from Lake Gatun — a large manmade lake and part of the canal’s route — but a 2006 regulation prohibited the canal from expansion outside its traditional watershed. The Supreme Court’s decision allowed a re-interpretation of the boundaries.
The Indio runs roughly parallel to the canal, through the isthmus. The new reservoir on the Indio would sit southwest of Lake Gatun and supplement the water from there and what comes from the much smaller AlHajjuela Lake to the east. The Indio reservoir would allow an estimated 12 to 13 additional canal crossings each day.
The reservoirs also provide water to the more than 2 million people — half the country’s population — living in the capital.
The river
Monkeys screeched in the thick jungle lining the Indio on an August morning. The boat weaved around submerged logs below concrete and rough timber houses high on the banks. Locals passed in other boats, the main means of transportation for the area.
At the town of El Jobo, Antonio and her colleague carefully climbed the muddy incline from the river to a room belonging to the local Catholic parish, decorated with flowers and bunches of green bananas.
Inside, residents from El Jobo and Guayabalito, two communities that won’t be flooded, took their seats. The canal authority has held dozens of such outreach meetings in the watershed.
The canal representatives hung posters with maps and photos showing the Indio’s watershed. They talked about the proposed project, the Supreme Court’s recent decision, a rough timeline.
Antonio said that canal officials are talking to affected residents to figure out their needs, especially if they are from the 37 tiny villages where residents would have to be relocated.
Canal authorities have said the Indio is not the only solution they’re considering, but just days earlier canal administrator Ricaurte Catin Vasquez said it would be the most efficient option, because it has been studied for at least 40 years.
That’s nearly as long as Jeronima Figueroa, 60, has lived along the Indio in El Jobo. Besides being the area’s critical transportation link, the Indio provides water for drinking, washing clothes and watering their crops, she said.
“That river is our highway and our everything,” she said.
The dam’s effect on the river’s flow was top of mind for the assembled residents, along with why the reservoir is needed, what would the water be used for, which communities would have to relocate, how property titles would be handled, would the construction pollute the river.
Puria Nunez of El Jobo summed up the fears: “Our river isn’t going to be the same Indio River.”
Progress
Kenny Alexander Macero, a 21-year-old father who raises livestock in Guayabalito, said it was clear to him that the reservoir would make the canal a lot of money, but he wanted to see it spur real change for his family and others in the area.
“I’m not against the project, it’s going to generate a lot of work for people who need it, but you should be sincere in saying that ‘we’re going to bring projects to the communities that live in that area,’” he said. “We want highways. Don’t try to fool us.”
One complication was that while the canal authorities would be in charge of the reservoir project, the federal government would have to carry out the region’s major development projects. And the feds weren’t in the room.
The project is not a guarantee of other benefits. There are communities along Lake Gatun that don’t have potable water.
Gilberto Toro, a community development consultant not involved in the canal project, said that the canal administration is actually more trusted by people than Panama’s federal government, because it hasn’t been enmeshed in as many scandals.
“Everybody knows that the canal projects come with a seal of guarantee,” Toro said. “So a lot of people want to negotiate with the canal in some way because they know what they’re going to offer isn’t going to be trinkets.”
Figueroa expressed similar faith in the canal administrators, but said that residents would need to monitor them closely to avoid being overlooked. “We can’t keep living far behind like this,” she said. “We don’t have electricity, water, health care and education.”
Next steps
President Jose Raul Mulino has said a decision about the Indio River project would come next year. The canal administration ultimately will decide, but the project would require coordination with the federal government. No public vote is necessary, but the canal administrator has said they are looking to arrive at a public consensus.
Opposition has emerged, not surprisingly, in communities that would be flooded.
Among those is Limon, where the canal representatives parked their car and boarded a boat to El Jobo. It’s where the reservoir’s dam would be constructed. The highway only arrived there two years ago and the community still has many needs.
Olegario Hernandez has had a sign out in front of his home in Limon for the past year that says: “No to the reservoirs.”
The 86-year-old farmer was born there and raised his six children there. His children all left the area in search of opportunities, but Hernandez wants to stay.
“We don’t need to leave,” Hernandez said, but the canal administration “wants to kick us out.”


Trump says Americans could feel ‘pain’ in trade war with Mexico, Canada, China

Trump says Americans could feel ‘pain’ in trade war with Mexico, Canada, China
Updated 12 min 26 sec ago
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Trump says Americans could feel ‘pain’ in trade war with Mexico, Canada, China

Trump says Americans could feel ‘pain’ in trade war with Mexico, Canada, China
  • “We’re not going to be the ‘Stupid Country’ any longer,” the Republican president wrote on social media
  • Experts warn that Trump’s tariffs could reduce US economic growth and throw Canada and Mexico into recession
  • Democratic lawmakers decried what they called a blatant abuse of executive power. Others warned about rising prices.

WASHINGTON: President Donald Trump said on Sunday the sweeping tariffs that he has imposed on Mexico, Canada and China may cause “some pain” for Americans, as Wall Street and the largest US trading partners signaled hope that the trade war would not last long.
US futures markets opened lower in a sign that investors were worried the tariffs could spur inflation and drag on growth, as economists have warned.
Trump, less than two weeks into his second White House term, defended the tariffs as necessary to curb illegal immigration and the drug trade.
Canada and Mexico ordered retaliatory measures to Trump’s 25 percent tariffs, which promise to jolt the economies of all three countries, which are tightly integrated through free-trade agreements.
China said it would challenge Trump’s 10 percent tariffs at the World Trade Organization and take unspecified countermeasures. Critics said the Republican president’s plan will slow global growth and drive prices higher for Americans, but Trump defended his decision.
“We’re not going to be the ‘Stupid Country’ any longer,” the Republican president wrote on social media. He added in all caps: “Will there be some pain? Yes, maybe (and maybe not!)“
Trump did not specify what he meant by “some pain.” North American companies were braced for the move, which could upend industries from autos to consumer goods to energy.
EY Chief Economist Greg Daco said Trump’s tariffs could reduce US economic growth by 1.5 percentage points this year, throw Canada and Mexico into recession and usher in “stagflation” — high inflation, stagnant economic growth and elevated unemployment — at home.
Trump’s move was the first strike in a what could be a destructive global trade war that Paul Ashworth of Capital Economics said would lead to a surge in US inflation that would “come even faster and be larger than we initially expected.
US crude oil futures jumped more than $2 to hit $75 per barrel, while stock futures fell. The S&P 500 E-mini futures were down 2 percent, while Nasdaq futures were down 2.75 percent.

Tuesday deadline
The Trump tariffs, outlined in three executive orders, are due to take effect 12:01 a.m. ET (0501 GMT) on Tuesday. Markets were awaiting developments with anxiety, but some analysts said there was some hope for negotiations, especially with Canada and China.
“The tariffs look likely to take effect, though a last-minute compromise cannot be completely ruled out,” Goldman Sachs economists said in a note Sunday.
They said the levies are likely to be temporary but the outlook is unclear because the White House set very general conditions for their removal.
A White House fact sheet gave no details on what the three countries would need to do to win a reprieve.
Trump vowed to keep them in place until what he described as a national emergency over fentanyl, a deadly opioid, and illegal immigration to the United States ends. China left the door open for talks with the United States. Its sharpest pushback was over fentanyl.
“Fentanyl is America’s problem,” China’s foreign ministry said, adding that China has taken extensive measures to combat the problem.
Mexican President Claudia Sheinbaum, raising her fist in the air in a speech outside the capital, vowed resilience.
She accused the United States of failing to tackle its fentanyl problem and said it would not be solved by tariffs.
Sheinbaum said she would provide more details on Monday of the retaliatory tariffs she ordered this weekend.
Canada said on Sunday it will take legal action under the relevant international bodies to challenge the tariffs.
Prime Minister Justin Trudeau also encouraged Canadians on Sunday to boycott their longtime ally after ordering retaliatory tariffs against $155 billion of US goods, from peanut butter, beer and wine to lumber and appliances.
Canadian officials said they were preparing measures to help business who might be hurt by the trade war.
Trump has heaped derision on Canada in particular, with calls for the country to become the 51st US state. On Sunday, he said Canada “ceases to exist as a viable country” without its “massive subsidy.”

Following through
The tariff announcement made good on Trump’s repeated 2024 campaign threat, defying warnings from economists that a trade war would erode growth and raise prices for consumers and companies.
Trump declared a national emergency under two laws, the International Emergency Economic Powers Act and the National Emergencies Act, which give the president sweeping powers to impose sanctions to address crises.
Trade lawyers said Trump could face legal challenges for testing the limits of US laws. Democratic lawmakers Suzan DelBene and Don Beyer decried what they called a blatant abuse of executive power. Others warned about rising prices.
“No matter which way you slice it: costs are going to climb for consumers,” Senate Democratic Leader Chuck Schumer said, vowing to try to “undo this mess.”
Republicans welcomed Trump’s action.
A Reuters/Ipsos poll released last week showed Americans were divided on tariffs, with 54 percent opposing new duties on imported goods and 43 percent in support, with Democrats more opposed and Republicans more supportive.

Investors look ahead
Investors were considering the effects of additional tariffs promised by Trump, including those related to oil and gas, as well as steel, aluminum, semiconductor chips and pharmaceuticals. Trump has also vowed actions against the European Union.
A European Commission spokesperson said the EU “would respond firmly to any trading partner that unfairly or arbitrarily imposes tariffs on EU goods.” Europe’s biggest carmaker, Volkswagen, said it was counting on talks to avoid trade conflict.
Automakers would be particularly hard hit, with new tariffs on vehicles built in Canada and Mexico burdening a vast regional supply chain where parts can cross borders several times before final assembly.
Trump imposed only a 10 percent duty on energy products from Canada after oil refiners and Midwestern states raised concerns. At nearly $100 billion in 2023, imports of crude oil accounted for roughly a quarter of all US imports from Canada, according to US Census Bureau data.
White House officials said Canada specifically would no longer be allowed the “de minimiz” US duty exemption for shipments under $800. The officials said Canada, along with Mexico, has become a conduit for shipments of fentanyl and its precursor chemicals into the US via small packages that are not often inspected by customs agents.
 


Georgian police arrest opposition leaders at pro-EU protest

Georgian police arrest opposition leaders at pro-EU protest
Updated 11 sec ago
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Georgian police arrest opposition leaders at pro-EU protest

Georgian police arrest opposition leaders at pro-EU protest
  • Earlier on Sunday, the Interior Ministry warned protesters in a statement that blocking the motorway was a criminal offense

TBILISI: Police in Georgia arrested several anti-government protesters on Sunday as thousands of demonstrators demanding new parliamentary elections briefly blocked a motorway on the edge of the capital Tbilisi.
A Reuters reporter saw three protesters being arrested, including Nika Melia, a leader of the country’s largest opposition party, the Coalition for Change.
Interfax news agency reported that Melia has since been released on bail after detention for an administrative offense.
“At the police station, I was sitting on a chair in handcuffs and was kicked by a police officer,” Interfax cited Melia as telling journalists afterwards.
Reuters could not independently verify the information.
There was no immediate comment from the police. Georgia’s Ministry Of Internal Affairs had said in a statement before the protest that the police would ensure the rally took place “in a peaceful environment, within the limits established by law.”
Former Tbilisi Mayor Giorgi Ugulava was also arrested, local media reported.
Georgians have been rallying nightly since November, when the ruling Georgian Dream party said it was suspending European Union accession talks until 2028, abruptly halting a long-standing national goal.
Georgian Dream held onto power in a disputed election in October that opposition parties say was rigged. The government says the vote was fair and free.
Protests had dwindled in recent weeks but they resumed with greater force on Sunday when thousands of people gathered outside a shopping complex on the northern edge of Tbilisi and briefly blocked the road leading out of the city. Police presence at the rally was considerable. Earlier on Sunday, the Interior Ministry warned protesters in a statement that blocking the motorway was a criminal offense.
One protester was seen by the side of the road, unconscious. Reuters was unable to establish what had happened to him.
Unverified video footage posted on social media showed scores of police in balaclavas beating protesters on the streets and others carrying away injured demonstrators into ambulances.


Trump to cut off all future funding to South Africa, Elon Musk’s original country

Trump to cut off all future funding to South Africa, Elon Musk’s original country
Updated 50 min 31 sec ago
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Trump to cut off all future funding to South Africa, Elon Musk’s original country

Trump to cut off all future funding to South Africa, Elon Musk’s original country
  • He alleged that “South Africa is confiscating land, and treating certain classes of people VERY BADLY”
  • Trump pledged during his first administration to investigate claims of large-scale killings of white farmers in South Africa and violent takeovers of land

WASHINGTON: US President Donald Trump said on Sunday that he would cut off all future funding to South Africa because he claimed, without evidence, that “certain classes of people” were being treated “very badly.”
“South Africa is confiscating land, and treating certain classes of people VERY BADLY,” Trump said in a Truth Social post.
“The United States won’t stand for it, we will act. Also, I will be cutting off all future funding to South Africa until a full investigation of this situation has been completed!” he added.
In 2023, the United States obligated nearly $440 million in assistance to South Africa, according to US government statistics.
South African President Cyril Ramaphosa said last month that he was not worried about the country’s relationship with Trump.
Ramaphosa said at the end of January that he had spoken to Trump after his election victory and looked forward to working with his administration.
During his first administration, Trump had pledged to investigate the unproven large-scale killings of white farmers in South Africa and violent takeovers of land.


Rubio says Panama must reduce Chinese influence around the canal or face possible US action

Rubio says Panama must reduce Chinese influence around the canal or face possible US action
Updated 03 February 2025
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Rubio says Panama must reduce Chinese influence around the canal or face possible US action

Rubio says Panama must reduce Chinese influence around the canal or face possible US action
  • China’s presence in the canal area may violate a treaty that led the US to turn the waterway over to Panama in 1999, Rubio tells Panama President Mulino
  • After his meeting with Rubio, Mulino said Panama would not be renewing its agreement with China’s Belt and Road Initiative when it expires

PANAMA CITY: US Secretary of State Marco Rubio brought a warning to Panamanian leader José Raúl Mulino on Sunday: Immediately reduce what President Donald Trump says is Chinese influence over the Panama Canal area or face potential retaliation from the United States.
Rubio, traveling to the Central American country and touring the Panama Canal on his first foreign trip as top US diplomat, held face-to-face talks with Mulino, who has resisted pressure from the new US government over management of a waterway that is vital to global trade.
Mulino told reporters after the meeting that Rubio made “no real threat of retaking the canal or the use of force.”
Speaking on behalf of Trump, who has demanded that the canal be returned to US control, Rubio told Mulino that Trump believed that China’s presence in the canal area may violate a treaty that led the United States to turn the waterway over to Panama in 1999. That treaty calls for the permanent neutrality of the American-built canal.
“Secretary Rubio made clear that this status quo is unacceptable and that absent immediate changes, it would require the United States to take measures necessary to protect its rights under the treaty,” the State Department said in a summary of the meeting.

Panama's President Jose Raul Mulino (L) greeting US Secretary of State Marco Rubio on arrival at the presidential palace in Panama City on February 2, 2025. (AFP)

The statement was unusually blunt in diplomatic terms, but in keeping with the tenor and tone Trump has set for foreign policy. Trump has been increasing pressure on Washington’s neighbors and allies, including the canal demand and announcing Saturday that he was imposing major tariffs on Canada and Mexico. That launched a trade war by prompting retaliation from those close allies.
Mulino, meanwhile, called his talks with Rubio “respectful” and “positive” and said he did not “feel like there’s a real threat against the treaty and its validity.”
The president did say Panama would not be renewing its agreement with China’s Belt and Road Initiative when it expires. Panama joined the initiative, which promotes and funds infrastructure and development projects that critics say leave poor member countries heavily indebted to China, after dropping diplomatic recognition of Taiwan and recognizing Beijing.
Rubio later toured the canal at sunset with its administrator, Ricaurte Vásquez, who has said the waterway will remain in Panama’s hands and open to all countries. Rubio crossed the lock and visited the control tower, looking down over the water below, where a red tanker was passing through.
Earlier, about 200 people marched in the capital, carrying Panamanian flags and shouting “Marco Rubio out of Panama,” “Long live national sovereignty” and “One territory, one flag” while the meeting was going on. Some burned a banner with images of Trump and Rubio after being stopped short of the presidential palace by riot police.

Panama activists take to the streets in Panama City to protest US Secretary of State Marco Rubio's diplomatic visit to discuss the Panama Canal and immigration with President Jose Raul Mulino on February 2, 2025. (REUTERS)

Rubio also pressed Trump’s top focus — curbing illegal immigration — telling Panama’s president that it was important to collaborate on the work and thanked him for taking back migrants. Rubio’s trip, however, comes as a US foreign aid funding freeze and stop-work orders have shut down US-funded programs targeting illegal migration and crime in Central American countries.
In a Wall Street Journal opinion piece on Friday, Rubio said mass migration, drugs and hostile policies pursued by Cuba, Nicaragua and Venezuela have wreaked havoc, and port facilities at either end of the canal are run by a China-based company, leaving the waterway vulnerable to pressure from the Beijing government.
“The president’s been pretty clear he wants to administer the canal again,” Rubio said Thursday. “Obviously, the Panamanians are not big fans of that idea. That message has been brought very clear.”
Despite Mulino’s rejection of any negotiation over ownership, some believe Panama may be open to a compromise under which canal operations on both sides are taken away from the Hong Kong-based Hutchison Ports company, which was given a 25-year no-bid extension to run them. An audit into the suitability of that extension is already underway and could lead to a rebidding process.
What is unclear is whether Trump would accept the transfer of the concession to an American or European company as meeting his demands, which appear to cover more than just operations.
Rubio’s trip, which will also take him to El Salvador, Costa Rica, Guatemala and the Dominican Republic, comes amid a freeze in US foreign assistance. The State Department said Sunday that Rubio had approved waivers for certain critical programs in countries he is visiting but details of those were not immediately available.


Elon Musk brands USAID as ‘criminal organization’ in growing row

Elon Musk brands USAID as ‘criminal organization’ in growing row
Updated 03 February 2025
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Elon Musk brands USAID as ‘criminal organization’ in growing row

Elon Musk brands USAID as ‘criminal organization’ in growing row
  • More USAID officials removed from posts as Trump’s team moves to abolish the agency’s independence
  • Trump has ordered a freeze on almost all US foreign aid oending a review of its spending to ensure money is distributed in line with his “America First” foreign policy

WASHINGTON: US billionaire Elon Musk attacked the US Agency for International Development on Sunday, calling it a “criminal organization” after President Donald Trump moved to freeze the bulk of Washington’s foreign assistance for three months.

USAID, an independent agency established by an act of Congress, manages a budget of $42.8 billion meant for humanitarian relief and development assistance around the world.

But it is one of the targets of the so-called Department of Government Efficiency (DOGE) headed by Musk, whom Trump has tasked with cutting the government workforce and slashing what the Republican calls waste and unnecessary spending.

Trump ordered a freeze on almost all US foreign aid, saying his administration will review spending to ensure money is distributed in line with his “America First” foreign policy.

The Trump administration has since issued waivers for food and other humanitarian aid. But aid workers say uncertainty reigns — and that the impact is already being felt by some of the world’s most vulnerable.

USAID is a criminal organization,“ Musk wrote on his X platform, replying to a video alleging USAID involvement in ”rogue CIA work“ and ”internet censorship.“

In a subsequent post, Musk doubled down and, without giving evidence, asked his 215 million X followers, ”Did you know that USAID, using YOUR tax dollars, funded bioweapon research, including Covid-19, that killed millions of people?“

He did not elaborate on the allegations, which officials in the previous administration linked to a Russian disinformation campaign.

Mayhem

Two top USAID security officials were reportedly removed during the weekend after they tried to stop DOGE representatives from gaining access to restricted parts of the building, three sources said on Sunday.

The action added to the dozens of staff at USAID being removed from their positions, as Trump’s team moves to abolish the agency’s independence and possibly bring it under the control of the State Department.

USAID’s account on X had been disabled, and the agency’s website was still offline.

Nearly 30 career staff in the agency’s Legislative and Public Affairs bureau lost access overnight to their emails, at least five sources said, bringing the total number of senior USAID career staff who have been put on leave over the past week close to 100.

“DOGE did access the building yesterday,” a senior Senate Democratic aide said, requesting anonymity to discuss the incident. USAID security officers tried to turn away DOGE personnel without security clearances.

“They (security personnel) were threatened with action by the federal Marshals Service,” the aide said. Following the incident, the director of USAID security John Voorhees and his deputy were removed from their positions and put on leave, sources said.

Members of the group from DOGE were allowed to access several secure spaces, including the office of security and the agency’s executive secretariat.

There was no record of what information DOGE officials were able to obtain in those areas, but the offices they accessed included classified files and personal information about Americans who work at USAID, the sources said.

Katie Miller, a DOGE spokesperson, said on social media platform X that no classified material was accessed without proper security clearances.

Matt Hopson, who was appointed as chief of staff by the Trump administration, has resigned, five sources familiar with the matter said. A congressional source said his resignation followed the incident with DOGE officials. USAID did not respond to a request about Hopson.

Legal battle looms

Congressional Democrats said the changes appeared to violate US laws establishing USAID and funding it as a separate agency. Two senior Senate Democratic aides said lawmakers and staff had been meeting on Sunday and would meet again on Monday to consider further steps, including legal action.

Senior Democratic members of the Senate Foreign Relations Committee including its chair Jeanne Shaheen on Sunday sent a letter to US Secretary of State Marco Rubio seeking an explanation over the incident. Shaheen said that she was working to gather Democrats and Republicans to ask for answers.

The global freeze on most of US foreign aid is already sending shockwaves around the world. Field hospitals in Thai refugee camps, land mine clearance in war zones, and drugs to treat millions suffering from diseases such as HIV are among the programs at risk of elimination.

US House Foreign Affairs Committee Chair Brian Mast on Sunday said that he would support moving USAID under the State Department and that there needs to be “more command and control.’

Asked on CBS’ “Face the Nation” if congressional approval was needed or whether Trump could act unilaterally, Mast did not answer. The “purging of people throughout the State Department, other agencies” and freezing aid were “all very important and necessary steps to make sure that we secure America,” he said.

The State Department and USAID did not respond to requests for comment.