For decision-makers · English
Paraguay's energy, in five lines.
One of the world's most unusual power markets, explained by someone who works inside the sector, not from the sidelines.
State of play · mid-2026 - Hydro-heavy & clean: Paraguay produces far more renewable electricity than it consumes, almost all of it from the Itaipú and Yacyretá binational dams.
- Demand is surging: consumption grew ~12.5% in 2025 (and ~18.5% in 2024). The binding constraint is peak capacity and regulatory design, not energy availability: per IPPSE Report 1/26 (June 2026, ANDE data), the critical peak-power window is 2028–2030, with a structural deficit from 2031.
- Itaipú in play: Annex C of the 1973 treaty, which prices Paraguay's ceded energy, is being renegotiated with Brazil.
- New rules: a 2025 renewables law opened the country's first utility-scale solar tender (140 MW, Chaco).
- The race is on: AI data centers, crypto miners and heavy industry are competing for cheap, contracted megawatt-hours, and tariff policy for them is still unsettled.
Want the running feed? The Paraguay Energy Digest tracks the sector's news in English, translated and contextualised from the local press.
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