ANDE's 'blacklist' strategy prompts thousands to pay overdue bills

Paraguay's National Electricity Administration (ANDE) has achieved immediate results with its new strategy to combat payment defaults. By reporting its first group of 10,000 delinquent customers to the credit bureau Equifax (formerly Informconf), the utility saw 15.9% of them regularize their accounts within just four days.

The move spurred a significant number of customers to visit commercial offices to settle their debts or arrange payment plans, seeking to avoid negative credit reporting. This financial pressure led to the recovery of G. 11.962 million in overdue payments.

ANDE's commercial manager, Hugo Rolón, confirmed the positive outcome and announced plans for a second wave. "This week we will be sending another batch of 15,000 customers to the confidential information platform," Rolón stated. The institution's overarching goal is to decrease the current delinquency rate of 19% to 16% by the end of 2026.

Currently, ANDE's total outstanding debt amounts to approximately US$160 million from 350,000 active customers with five or more overdue bills. To encourage voluntary payments before resorting to credit reports or service disconnections, ANDE is also promoting its "Ñande Ahorro" campaign, which offers a 100% waiver on late fees and interest-free installment options until the end of the month.

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This week we will be sending another batch of 15,000 customers to the confidential information platform.