The signing of the agreement between Paraguay and Taiwan to create a regional technology development hub focused on artificial intelligence and digital infrastructure is seen by industry and electricity sector representatives as a chance to accelerate investments in new power generation sources.
Feprinco president Enrique Duarte said the project envisions forming a mixed state-owned organization, similar to Itaipú or Yacyretá, to manage data processing and artificial intelligence. “It’s welcome news, truly a very important project,” Duarte told the Fuego Cruzado program on GEN/Nación Media. He added that private investments are already underway to prepare the necessary infrastructure and that the country must prioritize energy generation, transmission and distribution, as well as give the National Electricity Administration (ANDE) economic viability.
The agreement was signed during President Santiago Peña’s official visit to Taiwan, where other cooperation deals were also inked, such as the export of Paraguayan chicken meat to the island. The megaproject, financed in equal parts, is expected to create thousands of jobs and will be the only one in the world to involve a hydroelectric plant.
Engineer and former ANDE technical manager Fabián Cáceres Cadogan noted that while the agreement is interesting, caution is needed regarding actual energy availability. “Saying we have abundant energy is already redundant; reality shows a different picture,” he said. He recalled that this year’s peak demand reached 5,760 megawatts, while reserves stand at around 7,660 MW, leaving a margin of less than 2,000 MW. “Our consumption is growing at a dizzying pace. The last generation addition was in 2007, with two turbines at Itaipú, nearly 20 years ago,” he added.
Cáceres also agreed with Duarte on the need to strengthen ANDE, which he described as being in “intensive care.” According to him, the lack of investment is already causing problems in transmission and distribution, and soon in generation as well. “ANDE lacks the resources to tackle all these major challenges,” he warned.
The debate also included energy expert Victorio Enrique Oxilia Dávalos and Guillermo Krauch, vice president of the Paraguayan Institute of Electric Sector Professionals (IPPSE).