The President of the Republic of Paraguay, Santiago Peña, led the historic inauguration of the Valenzuela Substation of 500 kV, the largest and most modern in the national electrical system, marking a milestone in the country's energy infrastructure.
This strategic project, executed by the National Electricity Administration (ANDE), will strengthen the National Interconnected System (SIN) and directly benefit more than 770,000 users in the departments of Cordillera, Central, and Asunción.
The Valenzuela Substation, with an operational capacity of 1,400 megavolt-amperes (MVA) and 12 power transformers, connects the binational hydroelectric plants Itaipú and Yacyretá, ensuring a more efficient and reliable distribution of clean and renewable energy. It is worth noting that Paraguay exports a large portion of the electricity it produces, which is why its immediate energy availability in large volumes makes it an affordable destination for investments requiring immediate implementation.
According to ANDE President, Eng. Félix Sosa, this infrastructure not only improves the stability of the electrical supply but also seeks to drive industrialization in the area, positioning Paraguay as a regional energy hub.
“This substation is key to meeting the growing electricity demand and supporting large-scale industrial projects,” said Sosa.
During the ceremony, President Peña highlighted the transformative potential of the project: “This substation is the path to turning the department of La Cordillera into a logistical, industrial, technological, and productive center,” he stated.
“I gave Félix Sosa and the ANDE team a clear, tangible goal: for ANDE to become the most efficient public company in the Americas and one of the best in the world. Because ANDE will remain a public company in Paraguay,” the president emphasized.
The substation not only reinforces the electrical grid, but also responds to the increase in energy consumption, which in 2024 grew by 18% nationwide, driven in part by the expansion of Bitcoin mining.
Paraguay, with its abundant hydroelectric energy, has become an attractive destination for this digital industry, which demands large amounts of electricity. According to the Minister of Industry and Commerce, Javier Giménez, digital mining generates significant income in dollars for ANDE, which enables the financing of new infrastructure projects.
“We are thrilled to see the path our country has taken in recent times. Paraguay has emerged from anonymity on the global stage thanks to Bitcoin mining. Industries from around the world contact us daily to establish operations here,” said Bruno Vaccotti, director of Penguin Group, the first large-scale mining company to settle in Paraguay.
“What is happening today at the Valenzuela Substation is a magnet for companies willing to use our surpluses at a fair price, immediately, and as President Félix Sosa says, for Paraguayan energy to stay at home,” he added.
The Valenzuela Substation positions the Guaraní nation as a reference in green and renewable energy, comparable to global powers such as Qatar, but with a sustainable focus.
This project, part of the ANDE Master Plan 2021–2030, not only guarantees reliable electricity supply, but also attracts industrial and technological investments, driving economic growth and social development. With this inauguration, Paraguay takes a decisive step towards its consolidation as an energy and productive hub in Latin America.
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