Analysis
In the Media

Paraguay generates hydroelectric power at an average Levelized Cost of Energy (LCOE) of $20/MWh and has a structural surplus that reached 61 TWh annually in 2024. With the gradual opening of the domestic market enabled by Law 6,977/2022 and its implementing regulations, eligible consumers can now contract directly with generators, including binational ones, without being required to go through the National Electricity Administration (Ande).

Our power generation (half from Itaipú, half from Yacyretá, and Acaray) currently ranges between 47,000 and 50,000 GWh annually in average years (moving average for 2022–2025, according to official reports from the Vice Ministry of Mines and Energy).

In this interview, the Paraguayan economist and advisor to Salvadoran President Nayib Bukele summarizes the key points of his series on Paraguay’s fiscal deficit. He analyzes the causes of the imbalance, proposes sweeping reforms to pensions, public spending, and investment, and outlines a roadmap toward a “zero deficit.” He also previews his next series: the country’s energy potential.