What is the energy mix of Paraguay?

The energy mix of the Republic of Paraguay is dominated by clean energy sources, with one of the highest shares of renewable energy in South America. Hydropower accounts for the largest share of the country’s power generation, representing around 99.5% of the installed power capacity.

How does Paraguay generate electricity?

Paraguay generates 100% of its electricity from renewable sources, with the vast majority coming from the Itaipu, Yacyretá, and Acaray hydroelectric projects. Since turning to hydropower, Paraguay no longer relies on oil and diesel imports for electrical generation.

How can Paraguay benefit from solar energy?

Solar energy, in particular, is seen as a vital addition, taking advantage of Paraguay’s abundant sunlight to reduce pressure on its hydropower resources. The government also plans to harness bioenergy through biomass and biogases, tapping into organic waste and agricultural byproducts as fuel sources.

Can Paraguay use natural gas as a transitional energy source?

In addition to its focus on renewables, Paraguay is also looking to natural gas as a transitional energy source. The country’s new energy policy includes a project to integrate natural gas into its energy matrix. This would provide a reliable alternative to hydrocarbons while renewable technologies continue to scale.

What is Paraguay's energy policy?

The policy is expected to enhance Paraguay’s energy resilience, foster innovation, and contribute to global sustainability goals. Paraguay has long been known for its reliance on renewable energy. Nearly 100% of its electricity is generated from hydropower, mainly through the Itaipu and Yacyretá dams.

Why is Paraguay promoting biofuels?

By promoting biofuels, Paraguay aims to cut carbon emissions and reduce its reliance on imported fossil fuels. The shift toward biofuels is part of a broader “energy transition” that the government sees as crucial to modernizing the country’s energy infrastructure.