The Parmel system was located in the Parmel sector.
After the Battle of Hoth in 3 ABY, the traitorous Imperial Admiral Harkov sought refuge in the Parmel system to escape Imperial authorities upon the discovery of his defection to the Rebel Alliance. He was eventually captured and brought before Darth Vader for questioning and execution.
Parmel was home to the Rebel Alliance platform DS 5. It was during the pursuit of Admiral Harkov and his forces that Imperial loyalists captured the facility during a pitched battle in which Harkov attempted in vain to seek refuge aboard the platform.
The Parmel system was also home to the Imperial TIE Defender manufacturing facility Research. It was here that Grand Admiral Demetrius Zaarin tried to steal the Defender technology to give to the Rebel Alliance after his attempted coup against Emperor Palpatine. Loyal Imperial forces captured the facility, but were forced to evacuate with the prototype TIEs when Zaarin tried to destroy the space platform.