Industrial projects looking to set up in Villeta face a lack of electricity capacity, and the Buey Rodeo substation is facing demand far beyond its capacity, said Raúl Valdez, president of the Paraguayan Chamber of Oilseed and Cereal Processors (CAPPRO). He said the sector receives inquiries from companies every week, but sees projects stalled by grid limitations.
Valdez recalled that about 15 years ago, the first industries established in areas such as Villeta had to build their own substations and networks because adequate public infrastructure was lacking. In his view, hydropower, while keeping Paraguay among the producers of clean energy, is no longer enough on its own to ensure industrial growth.
Valdez said the current energy model is nearing its limits and called for diversification of power generation. The proposal is to treat generation, transmission and distribution as integrated parts of the service, while modernizing management and the regulatory framework. “Electricity should be a springboard for development, rather than a bottleneck,” he said.
The sector also supports updating and making tariffs more flexible for energy-intensive industries, whose demand varies by season and peak hours. Valdez argued that prices tailored to companies’ operating profiles would make them more competitive than rigid, standardized pricing schemes.
CAPPRO participates in the Business Advisory Council, where it is promoting the creation of a dedicated energy working group. Valdez said the initiative seeks to bring the public and private sectors closer together to find infrastructure and regulatory solutions and plan Paraguay’s industrialization over the next 30 years.
