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Despite setbacks and delays Panama Canal 'expansion will finish on time'

DESPITE a recent one-week strike, problems with the concrete mix, and reports of other delays, the Panama Canal Authority (ACP) and the builders' group, Grupo Unidos por el Canal (GUPC) say the expansion to be finished on time.

"The third set of locks project is foreseen to be delivered in October 21, 2014 as scheduled," GUPC told American Shipper.

"Even though the marine concrete mix design delayed the initiation of permanent concrete placement, the contractors' latest schedule shows that the project will be concluded as originally planned," said ACP engineering supervisor Jorge Quijano.

There are three types of concrete used: levelling concrete to level the excavated terrain to install forms, marine structural concrete and mass concrete.

Levelling concrete was not a problem because of the less stringent requirements, but Mr Quijano said marine structural concrete that is contact with salt water, must "comply with technical requirements, which until achieved by lab tests and confirmed by field tests, could not be placed", said the report.

"In addition to compressive strength and contraction, the concrete had to be modelled to assure at least a 100-year life span and very low permeability to insure that the imbedded rebars are not reached by water which would cause them to corrode, expand and cause concrete to spall [flake]," he explained.

Workers walked off the job in January for a week, complaining about not receiving overtime and weekend pay. They also demanded wage increases and after negotiations mediated by Panama Labour Minister Alma Cortez, the hourly minimum wage was raised from US$2.90 to $3.34.C

"Because the labour increase was done through a change in law, the ACP will absorb the labour rate increase stipulated in the decree, and reimburse the contactor for such increase, based on fully audited reports," Mr Quijano said.

Calculations additional costs from "agreements reached between the government and the unions, are still ongoing and will be analysed," GUPC said.

"All other expansion projects [access channel construction, lake and sea entrance channels] are on target to be completed in the last quarter of 2013, leaving only the locks project to be completed in 2014," Mr Quijano said.

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