Inter-oceanic canal: A route for Nicaragua and the world

The definitive route for an inter-oceanic canal in Nicaragua, a long term aspiration, was recently announced, a venture which will benefit the world and economic development of the Central American nation. President of Nicaragua, Daniel Ortega Saavedra (center) and President of the HKND company, Wang Jing, during the announcement of the inter-oceanic canal’s definitive route, predicted to assume 5% of international naval traffic. The idea to construct a route to join the Atlantic and Pacific oceans has been around for centuries; even the United Stated conducted a feasibility and expense study of such a canal at the end of the 19th century. The study is evidence of the longstanding interest in the creation of an inter-oceanic canal, also championed by the Nicaraguan hero Augusto Cesar Sandino, who led the struggle against U.S. intervention in Nicaragua at the end of the 1920’s, and in 1929, clearly demonstrated his support for the canal in his pro-Latin American liberation letter entitled Plan for Realizing Bolívar's Dream. In May 2013, Nicaraguan President Daniel Ortega described the country’s dream of building the canal, defending the project from the perspective of unity and integration for the common benefit of the people of Latin America and the Caribbean. One month after Ortega’s speech, the Nicaraguan government signed a preliminary agreement with the Chinese company HKND to construct the canal, estimated to cost over 40 billion dollars. The project which has attracted the attention of businesses, governments and the media since 2013, has once again made front page news, after the canal’s definitive route was announced. According to HKND engineers and government representatives, the route will be approximately 278 kilometers long, with a 105 kilometer stretch passing through Lake Cocibolca, the largest in Central America. The route will begin at the mouth of the River Brito, in the city of Rivas, some 110 kilometers southeast of Managua, cross Lake Cocibolca and continue along the River Tule, ending at the mouth of the Punta Gorda River, in the Autonomous Region of the South Atlantic. The canal will be between 230-530 meters wide and between 26-30 meters deep. The announcement of the route was seen as an important step toward construction of the canal, at a time when experts are predicating that growth in world trade will triple in the coming years. This scenario will create greater demand on naval capacities and congestion in the Panama Canal over the coming decade, stated Alberto Vega, director of firm ERM’s feasibility and expense studies of the project. In addition, he commented that the increasing size of ships will exceed the capacity of existing canals; therefore a second inter-oceanic route in Central America will help to satisfy demand with less cost. Dong Yunsong, HKND representative and project engineer, stated that a canal of this kind in Nicaragua will assume 5% of global trade transportation. 5,100 ships will cross this inter-oceanic route annually, among them the huge ships which can not pass through the Panama Canal, and that crossing time will be around 30 hours. Along with the benefits for world trade, specialists, members of parliament, businesses, citizens, governments and engineers predict that this mega project will provide a genuine economic boost for the country, the second poorest in the Americas. The project not only consists of building the canal, but also related sub-projects: an airport, various highways, a free trade zone, tourist resorts, and two ports - one on the Pacific side and another on the Atlantic. Yunsong commented on the economic benefits of project for the country, which - he said - could double the country’s Gross National Product and make Nicaragua one of the richest nations in Central America. For many, the route will open the path toward the elimination of poverty, a priority for the government, led since 2007 by President Ortega, which has - over the last few years - reduced the figure by 8%. AN ENVIRONMENTALLY FRIENDLY PROJECT In the midst of economic expectations, the project’s leaders have not overlooked - they say - the environment. In a recent meeting with HKND President Wang Jing, Ortega stated that, of all those considered, the chosen route has the least environmental and social impact. It is not the least expensive, but it is the most environmentally friendly, he emphasized. Jing also stated that HKND has, since the begging of the project, paid special attention to protection of the environment and social impact. We take responsibility not only for the happiness of this generation of Nicaraguans, but also the coming ones, stated Jing. HKND, during its presentation of the Plan Design Report, which included the definitive route, established that the functioning of the canal will not cause significant changes to the level of Lake Cocibolca. It was also explained that the water supply for production, and the domestic needs of inhabitants living near the basin, will be unaffected, as the canal will mainly use water from the Punta Gorda River basin, Yunsong stated. At the same time, it will generate resources to save the Bosawás reserve, the largest in Nicaragua, which - explained Ortega - is currently experiencing a decline due to, among other factors, the advance of agriculture. Against this backdrop, the project - which promises, according to HKND, the participation of prestigious international firms and the important presence, principally in the sub-projects, of small, medium and large Nicaraguan businesses - is advancing. (PL)