economy

ZLC safety questioned

Insurance companies may stop doing business in the zone if imrpovements are not made.

David Mesa/LA PRENSA

at risk:Concerns have been raised about fire safety measures in the ZLC in the wake of two major fires there in the past year.1023110

If the infrastructure to battle fires at the Zona Libre de Colón (ZLC) is not improved, businesses there might have trouble finding insurance companies willing to provide coverage.

The president of the Asociación Panameña de Aseguradores (Apadea), Mauricio De La Guardia, said that the guild is "highly concerned" about the ZLC's security and safety measures.

De La Guardia said that the existing infrastructure is woefully inadequate given the fact that the ZLC is one of the most important centers of trade in the hemisphere and the amount of goods that go through it.

He pointed out glaring problems, such as water tanks being empty and firefighters lacking basic equipment.

If the situation is not improved, the Apadea president said that insurers would not be able to continue operating in the zone.

There have been two major fires in the ZLC within the past year. Monday, a fire in the France Field area destroyed several buildings and caused millions of dollars in damage.

Firefighters were unable to contain the blaze because of low water pressure. Tanks on the property are empty because they are in a state of disrepair.

The viceministro de Comercio, Manuel José Paredes, said that a meeting will be held between insurers and ZLC administrators next week to discuss the issue. He said that he will wait until after that meeting to announce what changes, if any, the government plans to implement.

The ZLC’s administration began working on a plan to deal with safety and security issues at the site after a major fire in Ocotber of 2007, but that plan has not developed past the rought draft form.