ANDE unions file unconstitutionality lawsuit against Peña's decrees

Four ANDE unions have filed an unconstitutionality lawsuit against presidential decrees 5306, 5307, and their amendments 5860 and 5861, signed by President Santiago Peña. They claim the measures would cause significant financial harm to the state electricity utility — which manages Paraguay's share of the binational Itaipú dam — and result in a 15-year subsidy to a business group involved in crypto mining, data centers, and hydrogen production, with the cost passed on to the public through electricity rates.

Four ANDE unions announced on Saturday, June 6, that they will file an unconstitutionality lawsuit against presidential decrees 5306, 5307, and their amendments 5860 and 5861, signed by President Santiago Peña. The ANDE Engineers Union (UIA), the ANDE Workers' Union (SITRANDE), the ANDE Professionals' Union (SIPRA), and APROANDE issued a joint statement asserting that the measures will cause "significant patrimonial damage" to the state electricity utility, which manages Paraguay's share of the binational Itaipú dam.

The organizations reported that they have hired constitutional lawyer Jorge Rolón Luna to lead the legal action. The goal is "to safeguard legality, institutional integrity, and resources that belong to all Paraguayans."

The unions denounce that implementing the decrees would lead to contracts representing a 15-year subsidy directed to a business group involved in crypto mining, data centers, and hydrogen production. They claim this cost would be passed on to the public through ANDE's electricity tariffs. "We consider it unacceptable that decisions of this nature jeopardize ANDE's resources and ultimately affect the citizenry. We warn that these measures could lead to future tariff changes, shifting the costs of such decisions onto electricity service users," the statement says.

The entities also warn of potential impacts on the financial, operational, and technical stability of ANDE and the National Electric System. The country's energy situation is already under growing pressure on hydroelectric resources, which are reaching their current limits, making it necessary to incorporate other generation sources that are inevitably more expensive.

The unions also reject unofficially suggested alternatives such as compensation through Itaipú funds or transfers from the central government. For the organizations, these options would merely represent another way to shift the subsidy cost onto Paraguayan society as a whole. The unions reaffirmed their commitment to defending national interests, energy sovereignty, and institutional transparency, stating they will remain vigilant against any decision that seeks to weaken ANDE or unfairly transfer financial burdens to citizens for the benefit of specific sectors.

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Updated: Jun 7, 2026, 6:21 AM