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Home - Policy - Paraguay launches first large-scale solar tender, marking a historic shift in energy policy
Policy

Paraguay launches first large-scale solar tender, marking a historic shift in energy policy

solarenergyBy solarenergyMay 28, 2026No Comments3 Mins Read
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By pv magazine Latam

The National Electricity Administration (ANDE) of Paraguay has a tender for the construction of the Loma Plata solar photovoltaic power plant, a 140 MW project in the Boquerón department.

The facility will be directly connected to Paraguay’s National Interconnected System (SIN) through the Loma Plata substation at 220 kV. The preliminary scope includes the technical design, construction and operation and maintenance of both the solar power plant and the transmission infrastructure.

The state-owned company said the hearing will be broadcast via Google Meet, with access to the session and preliminary tender documents available on the institutional portal.

According to ANDE, the process began immediately after the entry into force of the regulatory decree implementing Law No. 7599/2025. Pursuant to the decree, the utility has submitted a request to Paraguay’s National Directorate of Public Procurement (DNCP) to hold the hearing and publish the preliminary specifications for the international tender.

The World Bank supports the technical and financial development of the project.

The initiative is part of Law No. 7599/2025, “On the modernization of the regime regulating and promoting the generation of electrical energy from non-conventional, non-hydraulic renewable energy sources.” The legislation replaces Law No. 6977/2023 and establishes a new framework for the development of renewable energy in Paraguay.

The law explicitly includes solar, wind, biomass and geothermal technologies within the country’s non-conventional renewable energy regime. It also allows multiple participation models, including self-generation, cogeneration, commercial generation and electricity export.

An important provision for the solar energy sector is contained in Article 24, which authorizes ANDE to launch international public tenders and sign renewable energy purchase agreements with a term of up to 30 years.

See also  India's GUVNL allocates 500 MW hybrid wind-solar energy at $0.040/kWh – SPE

The legislation also recognizes energy storage systems, allowing the competent authority to set reference prices for renewable electricity ‘with or without storage systems’. This provision could pave the way for future tenders and contract frameworks for hybrid solar-plus-storage projects, as well as reimbursement mechanisms linked to firm capacity and hourly energy management.

Another notable aspect of the framework is the creation of a reference tariff for non-conventional renewable energy sources. The tariff is intended to compensate excess electricity generated by grid-connected autoproducers and cogeneration units, in addition to providing a regulatory framework for metering, recording and injecting electricity into the grid.

The implementation of Law No. 7599 through Decree 6034, together with the launch of the Loma Plata tender, marks the first concrete step in Paraguay’s new energy diversification strategy, in an energy sector historically dominated by hydropower.

According to the International Renewable Energy Agency (IRENA), Paraguay had 8.8 GW of hydropower capacity and only 3 MW of operationally installed solar power at the end of 2025.

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