Panama Canal: New Stage in History
Almost three months after its proposal, the modernization of the Panama Channel Zone is as of now a formal bill and center of a referendum to determine its destination.

It is backed by the Republic's President Martin Torrijos, who termed the initiative a "historic opportunity" to boost the country"s social-economic development.

According to polls, the project has majority support, but there are some detractors who aim to launch strong campaigns to counteract the powerful system of the Panama Canal Authority (PCA).

With almost one century since its construction, said Torrijos, "we have the dilemma of modernizing this inter-ocean route to give larger benefits."

After signing the bill to modernize the Channel Zone at the national government"s Presidential Palace, the head of State stated the work is vital and decisive for the future of Panama.

According to the PCA, the work will cost about $5.2 billion and includes the construction of three locks in a period of seven years starting in 2007.

The bill inked by Torrijos that approves the project will be published Wednesday, and October 22 will be the national referendum.