Paraguay is beginning to show a much larger renewable business opportunity than the first 140 MW solar tender announced by ANDE.
The market is watching for a different figure: today there are approximately 1000 MW of electricity consumption associated with cryptocurrency mining linked to the National Electricity Administration. And these contracts, as explained by Paraguayan specialists during the "It Had to Be Said and It Was Said" livestream, will enter a new phase starting January 1, 2027 .
This expiration could open an unprecedented window for photovoltaic projects, battery schemes, and bilateral energy contracts.
“You have 1000 MW from cryptocurrency mining companies that are currently working with ANDE. They are within ANDE's jurisdiction. But they could move to bilateral contracts. That's what could happen next year, based on the new regulations,” it was stated during the program.
Eduardo Viedma , president of the Paraguayan Renewable Energy Association (APER) , confirmed the scenario: “They could be both consumers and producers of energy. In fact, most of them have already submitted plans to ANDE for this type of generation. It's generally photovoltaic. All photovoltaic and BESS system, probably with battery storage.”
REVIVE THE STREAMING: https://www.youtube.com/watch?v=5EDHfIqFwmo&t=10s
The phrase defines the new Paraguayan moment. The country, which for decades was seen as a hydroelectric market, with an abundance of clean energy from Itaipu and Yacyretá, is beginning to emerge as an attractive destination for solar developers, battery suppliers, international EPC contractors, technology manufacturers, and investors capable of structuring projects for large consumers.
This is a significant point. If those 1000 MW of crypto demand require extended contracts with new conditions, the discussion ceases to be an isolated tender and becomes a potential new stage for the Paraguayan electricity market.
According to Viedma, the goal is to prevent these energy-intensive industries from leaving the country, but at the same time to invest in new renewable energy generation to alleviate the use of hydroelectricity.
“What they are trying to do is extend this ANDE contract, which will expire regardless on January 1, 2027, for a longer period with an investment plan in generation to reduce hydroelectric consumption. That is basically the end goal,” he explained.
Solar power to release hydro at peak loads
The logic behind this opportunity is both technical and commercial.
Paraguay has a largely clean electricity grid, but it is concentrated in hydroelectricity. The addition of new solar power is not necessarily intended to replace that base, but rather to complement it during times when the system needs to be relieved of pressure.
Viedma explained it with a phrase that summarizes the strategy: “What they want is to take away their peak load, because at midday in Paraguay there are two peak loads: midday and night. So they want to take away their peak load and have solar generation replace hydroelectric consumption.”
The reasoning is clear. If large consumers—such as cryptocurrency mining companies—incorporate photovoltaic generation during daylight hours, they can reduce the pressure on hydroelectric power during peak demand. This would allow for water conservation, improved use of hydroelectric resources, and the ability to meet new energy needs without relying exclusively on Itaipu, Yacyretá, and Acaray.
For a foreign investor, this understanding is key. The opportunity isn't limited to selling cheap energy. It's about participating in the transition of a system that seeks to maintain its renewable energy advantage but needs to diversify technologies, add capacity closer to consumption points, and develop private contracting mechanisms.
Cryptocurrency mining appears to be the first major driver of demand. But it could be followed by data centers, artificial intelligence, large industrial users, agribusiness chains, real estate projects, electromobility, and new production hubs in areas where the network is already showing limitations.
REVIVE THE STREAMING: https://www.youtube.com/watch?v=5EDHfIqFwmo&t=10s
Electricity demand is growing at a record pace.
The Paraguayan solar opportunity is best understood by looking at demand data.
In 2025, electricity consumption in Paraguay reached 29,419 GWh , a 12.5% increase compared to 2024. It was the second largest increase of the last decade.
The curve of the last few years shows a remarkable acceleration: the country went from 18,583 GWh in 2021 to 19,635 GWh in 2022 , then to 22,079 GWh in 2023 , then to 26,154 GWh in 2024 and finally to 29,419 GWh in 2025 .
In just five years, demand grew by 10,836 GWh , representing a cumulative jump of 58.3% .
During the live stream, Viedma explained that Paraguayan consumption growth had been around 6% or 7% annually , driven by conventional industries, businesses, residences, and traditional economic activity. But the emergence of new, energy-intensive consumption patterns, especially cryptocurrency mining, changed the scale.
“Primarily with crypto,” he replied when asked about the surge in demand. He clarified that it's not yet about large-scale artificial intelligence or Big Data, although the installed infrastructure could migrate toward those uses in the future: “That technology is really for processing. It can process anything.”
Cryptocurrency mining has a characteristic that makes it particularly relevant to the electrical grid: it consumes energy almost continuously, 24 hours a day. Furthermore, it requires intensive cooling due to the heat generated by the equipment. Therefore, it seeks out countries with competitive energy prices, power availability, and stable supply.
Paraguay was attractive due to its electricity rates and its hydroelectric infrastructure. As explained on the program, cryptocurrency miners pay around USD 69/MWh , a higher rate than other local consumers, but still competitive compared to markets where that cost can be double.
For ANDE, this consumption represents significant revenue. For the system, however, it also represents pressure. And for renewable energy investors, it presents an opportunity: if these consumers need to ensure continuity of supply from 2027 onward, they could become buyers, partners, or even direct drivers of solar projects with storage.
REVIVE THE STREAMING: https://www.youtube.com/watch?v=5EDHfIqFwmo&t=10s
A clean matrix, but too concentrated
The Paraguayan paradox is that the country does not start from a fossil fuel energy matrix. Quite the opposite: its electricity is almost entirely hydroelectric.
In 2025, the supply of the 29,419 GWh of consumption came mainly from three plants: Itaipú Binacional , with 25,768 GWh , equivalent to 87.6% ; Yacyretá , with 3,081 GWh , equivalent to 10.5% ; and Acaray , with 570 GWh , equivalent to 1.9% .
In other words, 99.9% of Paraguay's electricity supply came from hydroelectricity.
This energy mix gives Paraguay a clear international advantage: clean, renewable, and relatively low-cost energy. But it also implies an extreme dependence on a single technology and large assets located far from some emerging consumption centers.
For years, this abundance of hydroelectric power created the perception that Paraguay did not need to develop solar or wind energy. However, the growth in demand changed the equation.
Viedma was critical about it: “We fell asleep during 50 years of excess hydroelectric power.”
The diagnosis is that Paraguay had a huge advantage, but took too long to create a complementary renewable energy market. Today, as demand accelerates, the country still lacks experience with utility-scale solar, has no developed EPC supply chain, and has outstanding regulatory issues regarding distributed generation, private contracts, and the sale of surplus energy.
REVIVE THE STREAMING: https://www.youtube.com/watch?v=5EDHfIqFwmo&t=10s
Loma Plata: first utility-scale solar tender and test case
In that context, the tender for 140 MW of solar power in Loma Plata becomes the first formal step in a new stage.
ANDE has already submitted to the National Directorate of Public Procurement the document of terms and conditions for contracting the plant, located in the department of Boquerón, in the Central Chaco.
The project will be located approximately 450 kilometers from Asunción , will occupy roughly 200 hectares , and will have ANDE as the exclusive purchaser of all the energy. The planned contract is for 30 years , divided into 1.5 years of construction , 27 years of operation and maintenance, and 6 months of decommissioning . The minimum required availability is between 93% and 95% .
The roadmap presented foresees the submission of the tender to the DNCP, a public consultation on June 1 , the official call and award, construction and assembly between 2027 and 2028 , and commercial operation in 2029 .
The economic scheme will be based on the lowest price offered in USD/MWh , with a maximum reference price developed with technical assistance from the IDB. Payments would be backed by a trust between the Ministry of Economy and Finance and the Development Finance Agency.
But Loma Plata is not just a solar plant. It is a solution to a grid problem and a regional development issue.
Juan Carlos Fariña, energy consultant and member of APER, explained during the streaming that the project was born out of the distance between the large generation centers and the new consumption points of Chaco.
“It all stems from a problem they are having there: the distance,” he noted.
As he explained, the distance from the hydroelectric generation points to Loma Plata can be between 700 and 800 kilometers . The area already has significant energy demands and infrastructure limitations. Fariña mentioned requests for 40 MW , 50 MW , and even inquiries for 200 MW related to productive activities and new developments.
The project will also require additional infrastructure. The winning bidder will be responsible for constructing a 220 kV transmission line, expanding the Loma Plata substation, and making the necessary adjustments to connect the plant to the grid.
This means that the project will not simply be a photovoltaic installation, but a package of generation, transmission, operation and long-term permanence.
REVIVE THE STREAMING: https://www.youtube.com/watch?v=5EDHfIqFwmo&t=10s
Public consultation: market expectations and doubts
The public consultation on June 1st will be a key moment to gauge investor appetite and clarify outstanding issues.
Fariña anticipated that it will be an open forum where interested parties can ask questions about technical, economic, and contractual conditions.
“We’re going to ask many more questions because the tender specifications were released weeks ago with many things very clear. The scope, how the consortia will be formed, how payment will be made. Some things are already very clear. But there are issues that aren’t in the tender specifications,” he explained.
Among the points that the market will seek to clarify are the guarantee structure, connection risks, payment method, deadlines, formation of consortia, maximum price, bankability of the contract and the true scope of the transmission works.
Viedma warned that simply opening the call for proposals is not enough to attract private capital. Regulatory and economic clarity are also needed.
“Until the price is defined, until the conditions under which this investment will be made are defined, it will be very difficult for investments to arrive,” he said.
The security of payments through escrow can be a positive sign. But for international investors, especially those looking at emerging markets, contractual security will be the deciding factor.
REVIVE THE STREAMING: https://www.youtube.com/watch?v=5EDHfIqFwmo&t=10s
A market without utility scale experience
One of the most repeated warnings during the streaming was the lack of local experience in large-scale solar projects.
The tender's participation conditions require a minimum net worth of $10 million , annual turnover of $25 million , letters of intent for financing of at least $60 million , accumulated photovoltaic experience of 140 MW in five years , at least one project of 50 MW or more , and experience in high-voltage interconnection.
Fariña was emphatic: “No Paraguayan company here meets that requirement.”
Paraguay has electrical installers and professionals, but not a local EPC industry prepared to execute utility-scale solar plants connected to high voltage.
“We have installers, but obviously we need to provide training courses in high power, especially continuous power. We don't have experience with anything over half a megawatt. That's the reality,” Fariña added.
This opens up a direct opportunity for international companies. Established developers, regional EPC contractors, module manufacturers, inverter suppliers, battery integrators, engineering consultancies, grid connection firms, and asset operators can find in Paraguay an early-stage, still relatively uncompetitive market with a need for expertise.
However, this same lack of maturity also entails risks. Investors will need to understand the local context, partner with Paraguayan stakeholders, and support the development of technical capabilities.
Huawei, the only truly visible technological presence
Another relevant point of the conversation was the presence of international manufacturers.
According to experts, Paraguay still lacks a strong and permanent presence of major solar manufacturers. Brands like Jinko, LONGi, and other large global players do not have established offices in the country.
Huawei appears as the most visible exception.
Fariña explained that “Huawei was the first to invest a little when the market was there, around 2022.” He noted that the company even had offices and a team working in the country, although the market hadn't yet reached a volume that justified a massive presence of international suppliers.
The reason is simple: when companies ask how many MW Paraguay is closing in solar, the answer still shows an incipient market.
“When I tell them the numbers, they see that there is still no developed market,” Fariña summarized.
The Loma Plata auction could change that perception. If the process moves forward, if international consortia participate, and if a future portfolio of projects is confirmed, Paraguay could begin to attract manufacturers, distributors, integrators, and specialized service companies.
Distributed generation: the regulation that is still missing
Although the Loma Plata tender is the focus of attention, Viedma insisted that the true development of the Paraguayan renewable energy market needs to resolve distributed generation before or in parallel.
The new law allows for different schemes: sales to ANDE, sales between private parties, exports, large consumers, and distributed projects. However, several of these areas still lack specific regulations.
Viedma was clear: “For me, the law here turned out very well for ANDE projects. Exactly for what ANDE has planned now, which is this tender in which they have 100% control of the process and want someone to come in and build and sell energy to ANDE with a 30-year contract.”
But the problem arises in the rest of the market. “The law also provides for generation, sales between private entities, and everything below one megawatt, which includes all the projects distributed throughout Paraguay that can be injected directly into the grid, as they have in Argentina, Brazil, or Uruguay, for homes, businesses, and industries to generate electricity on their rooftops, consume what they want, and sell the difference,” he explained.
According to Viedma, that segment is not yet operationally defined in the regulations. It is not yet clear how much will be paid for surplus energy, what the compensation will be, how it will be fed into the grid, or what economic conditions will apply to small commercial, industrial, or residential users.
“That little cat doesn’t exist in the regulations today. Therefore, we, our clients who are very interested in investing in power generation at their homes, businesses, or industries, cannot do so because the payment, the compensation that ANDE will provide for these types of investments, which could number in the thousands, has not yet been defined,” he stated.
For APER, that is a key issue. “For us, it is very important that low-power distributed generation has already been properly regulated,” Viedma emphasized.
The importance of this segment is strategic. In most Latin American markets, distributed generation has allowed for the creation of local industry, the training of installers, access to financing, the development of suppliers, and the building of experience before scaling up to large-scale projects.
Paraguay, on the other hand, could start with a 140 MW utility scale tender without having first consolidated a broad base of smaller grid-connected projects.
The cost of being late
Regulatory delay has a concrete cost.
Viedma recalled that Paraguay had made several legislative attempts to promote renewable energy. The first initiative was in 2017 and was vetoed. Subsequent versions were introduced in 2018, 2021, 2023, 2024, and 2025.
“The renewable energy law, this is the fourth law to be passed in Congress. The first one was in 2017, and it was vetoed in 2017. If we had that law already, today we would be talking about at least 1000-1500 MW of solar power. Today in Paraguay we don't even have half a megawatt,” he warned.
The statement reflects the frustration of Paraguay's renewable energy sector. The country had the conditions to start earlier: clean energy, macroeconomic stability, growing demand, solar resources, and a need for diversification. But the regulatory framework arrived late and still needs refinement.
That delay explains why there is not enough local experience today, why international manufacturers are still watching cautiously, and why the first large-scale tender is generating so much expectation.
Storage: Batteries for crypto, grid and solar
The conversation also touched on the role of storage.
For Fariña, the debate about the intermittency of renewables is often presented incompletely. Solar energy is variable, but today batteries allow for much broader services than simply energy transport.
“Today’s energy storage is not just about having energy to deliver. It will be able to regulate active and reactive power, and frequency. It can even not only follow the wave, but also generate its own inertia,” he explained.
The consultant emphasized that batteries can solve grid problems, provide stability, and complement hydroelectric power. He also highlighted the drop in prices and the technological improvements in the systems.
For the crypto segment, the most likely model would be solar with BESS. Not necessarily to disconnect from the grid, but to reduce hydroelectric consumption, manage peak demand, and maintain more competitive contracts.
This reinforces the appeal for battery suppliers, hybrid integrators, and companies with experience in storage systems associated with large users.
Gas or renewables? The debate that is opening up
The streaming event also sparked a fundamental discussion: whether Paraguay should rely on natural gas as a backup or deepen its renewable energy mix.
Fariña was critical of the idea of rushing to develop gas from Vaca Muerta. “Not for me,” he responded when asked. He explained that APER advocates maintaining a renewable energy mix and prioritizing the use of available resources.
“We always adapt to having a renewable energy matrix and we fight and struggle to maintain those renewable sources that Paraguay still has,” he said.
Viedma added that the gas pipeline project appears to be geared more towards transit to Brazil than to Paraguay's domestic consumption. Furthermore, he noted that Paraguay currently lacks a culture of natural gas consumption in industry, transportation, or power generation.
For APER representatives, the priority should be to organize the electricity market, regulate distributed generation, develop solar power, evaluate batteries, better study wind resources, and take advantage of small hydroelectric plants before incorporating fossil fuels.
“It’s time to go in”
The conclusion of those interviewed was clear to foreign investors.
Paraguay is not yet a mature market. It lacks established utility-scale solar experience, a broad network of specialized EPC contractors, a strong presence of global manufacturers, and needs to resolve key regulatory issues.
But that's precisely why the opportunity arises.
When asked if this was the right time for an investor, manufacturer, developer, or EPC contractor to look at Paraguay, Viedma responded bluntly: “I believe it’s the right time. It’s the time to get involved and contact us so we can work together. We need to develop the market here, and we need to bring in people with much more experience.”
The phrase sums up the current situation in Paraguay: an emerging market, growing demand, regulations under construction, and a first tender that could facilitate the entry of international players.
For the business reader, the interpretation is straightforward. The opportunity isn't just the 140 MW of Loma Plata . The real horizon lies in the 1,000 MW of cryptocurrency mining that renewable energy schemes could require starting in 2027, in the large consumers enabled by the new regulations, in the need to alleviate peak loads, in distributed generation awaiting regulation, and in the future projects that ANDE could activate in its planning.
Paraguay has clean energy, growing demand, and a strategic location for new electricity-intensive industries. What it needs now is to transform that potential into clear rules, defined prices, infrastructure, bankable contracts, and local capabilities.
The first sign is already in motion. Loma Plata will be the test case. And the message conveyed by the live stream was clear: for those looking to position themselves early in an emerging renewable energy market, Paraguay is becoming a place to watch closely .