# Paraguay energy sector institutional and strategic reforms

> Live situation record from CLSTR: https://clstr.news/situations/paraguay-energy-sector-institutional-and-strategic-reforms
> Updated: 2026-08-23T07:00:00.000Z. Sources: 3. Developments: 2.

Paraguay is undergoing institutional and strategic shifts to manage rising electricity demand and modernize its energy sector. Following the appointment of Miguel Báez as head of the National Electricity Administration (ANDE), the utility established a strategic plan focused on modernizing infrastructure, expanding transmission lines, and diversifying generation through solar projects, such as a planned 140 MW plant in the Chaco.

Simultaneously, Paraguay has been engaged in negotiations with Brazil regarding Annex C of the Itaipú treaty to improve terms for selling surplus energy on the open market. 

To address a situation where internal consumption has grown by more than 18%—exceeding previous projections—the government is accelerating legal steps to create a new Ministry of Energy, Mines, and Hydrocarbons and an independent Energy Regulatory Body. These reforms aim to provide legal certainty for foreign investors as the country considers private investment projects exceeding 6,000 MW.

## Timeline

### 2026-08-23: Paraguay proposes energy ministry and regulator amid rising demand

Paraguay is pursuing institutional reforms, including a new Ministry of Energy and an independent regulator, to manage rising electricity demand and attract foreign investment.

3 sources. https://clstr.news/cluster/paraguay-proposes-energy-ministry-and-regulator-amid-rising-demand

### 2026-07-27: Paraguay's ANDE chief Miguel Báez sets strategic plan and pursues Itaipú Annex C negotiations

ANDE’s new chief Miguel Báez outlines a five‑point electricity strategy and says Paraguay is still negotiating Itaipú Annex C with Brazil to improve surplus power sales.

3 sources. https://clstr.news/cluster/paraguays-ande-chief-miguel-bez-sets-strategic-plan-and-pursues-itaip-annex-c-negotiations

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Cite as: Paraguay energy sector institutional and strategic reforms. CLSTR, https://clstr.news/situations/paraguay-energy-sector-institutional-and-strategic-reforms
