CEAL warns Paraguay faces energy deficit without market reforms

The Business Council of Latin America (CEAL) has warned that Paraguay could face an energy deficit within five years if structural reforms are not implemented to modernize the country's legislative framework. CEAL representatives emphasize that while there is significant accumulated interest from international investors, the current institutional architecture may prevent these projects from materializing.

Rubén Jacks, president of CEAL Paraguay, stated that the country needs to attract private capital for energy generation. He argued for the creation of a truly autonomous regulatory body, independent of political interference, suggesting a model similar to the telecommunications sector where the market was opened while maintaining state structures. Jacks clarified that the goal is not to privatize the National Electricity Administration (ANDE), but to make it competitive within an open market.

Legal advisor Diego Zavala identified structural flaws in current government proposals, specifically regarding the lack of independence for the projected regulatory entity. Concerns were raised that if the proposed regulator remains dependent on the Executive Branch, it will compromise technical and political independence, ultimately deterring private investment.