Electricity in Paraguay in 2023

Paraguay's electricity sector is a remarkable example of clean energy implementation, as the country currently derives 100% of its electricity from low-carbon sources. Nearly all of this green electricity, approximately 99.46%, comes from hydropower, demonstrating Paraguay's commitment to sustainable energy. Importantly, Paraguay is not only self-sufficient in clean electricity but also serves as a significant net exporter, aiding neighboring countries to reduce their emissions by supplying them with clean electricity. This achievement highlights Paraguay's role as a key player in the regional transition towards low-carbon energy solutions. However, to further enhance its green credentials, the country faces the next challenge of electrifying other sectors such as transportation, heating, and industry, which will inevitably demand an increase in electricity supply.

Suggestions

To boost its low-carbon electricity generation, Paraguay should consider diversifying its portfolio of green energy sources. Expanding wind and solar power capacities would provide resiliency and enhance the stability of its electricity supply, complementing its dominant hydropower. Adding nuclear power to the mix could further ensure a continuous supply of clean electricity, especially as electricity demand rises with the transition towards electric transport and industry. Such diversification would not only meet the increasing domestic demand but also enhance Paraguay's ability to continue supporting regional emissions reduction efforts.

History

The trajectory of low-carbon electricity generation in Paraguay is characterized by significant growth periods and a few declines. In the late 1980s and early 1990s, hydropower saw steady increases, with notable expansions like the 6.7 TWh increase in 1987 and another 4.3 TWh rise in 1993. This growth continued modestly until a decline in 2001 by 8.2 TWh. Post-2010, the most significant surge came in 2016 with an 8 TWh rise in hydropower, though it was followed by occasional drops, such as a decrease of almost 10 TWh in 2019. Despite such fluctuations, Paraguay's dedication to maintaining a clean electricity system persisted, evident by 2022's increase of 3.3 TWh in hydropower generation. These historical shifts underscore the dynamic nature of Paraguay's commitment to low-carbon electricity and its continual adaptation to sustain clean energy dominance.

Electricity Imports and Exports

Balance of Trade

Data Sources