Paraguay inaugurates Valenzuela Electric Power Substation built with FONPLATA financing
The National Electricity Administration (ANDE) started up the Valenzuela 500 kV substation, considered the most ambitious and strategic project in Paraguay's electrical power system. Located in the district of Valenzuela, department of Cordillera, this infrastructure — that receives five high-voltage transmission lines: three coming from Itaipu and two from Yacyreta— becomes a key node that allows their synchronization and distribution to the areas with the highest electric power demand in the country.
With an investment of nearly USD 84 million — primarily financed by FONPLATA— the project will directly benefit more than 770,000 users across the departments of Cordillera, Central, and Asunción. It will also enhance the potential for electric power integration with neighboring countries by leveraging the complementarity of regional energy systems.
The inauguration took place on May 10, 2025, with the presence of the President of the Republic, Santiago Peña, along with government authorities, and representatives from FONPLATA, including the Vice President of Operations, Eliana Dam; the project specialist, Eduardo Bogado; and the portfolio analyst, Soledad Vaesken.
ANDE emphasized that the new substation significantly improves the stability of the electric power system by optimizing distribution through the existing 220 kV lines and raising the voltage profiles. This connection capacity strengthens the national grid and allows more efficient use of the clean energy generated by the binational hydropower plants.
During the ceremony, President Peña underscored Paraguay's role as a global reference: ‘Paraguay has become the little Qatar of sustainable energy,’ he said, highlighting the country's strategic value in the regional energy context.
05/12/2025