Itaipú: Brazil releases 2025 annual report, notes Paraguay pays nearly half for energy

Paraguay paid nearly half the price for energy from the Itaipú binational dam in 2025 compared to Brazil, according to the dam's annual report released by the Brazilian side. While Paraguay's energy agency, ANDE, has not yet released its report, the Brazilian document reveals a significant cost disparity.

In 2025, Paraguay's average cost for Itaipú energy was $26.61 per megawatt-hour (MWh). In contrast, the Brazilian market paid $49.94/MWh for the same energy. This difference occurred despite the contracted power rate remaining frozen at $19.28 per kW per month for the 2024-2026 triennium. The report attributes the lower cost for Paraguay to the impact of the Energy Assignment Remuneration and the total volume of supply effectively withdrawn by each commercial partner.

The Itaipú report indicates that Paraguay's energy consumption from the dam saw a substantial increase of 26.4% in 2025, reaching 25,768 GWh. This volume covered 87.6% of Paraguay's total electricity demand. Meanwhile, Brazil, the majority partner, received 46,679 GWh, which represented only 6.7% of its massive national demand.

Despite critical hydrological conditions with low rainfall and an inflow of only 7,569 m³/s (68% of the historical average), Itaipú generated 72,879 GWh in 2025, an 8.9% increase from the previous year. The dam operated at a remarkable 99.92% operational capacity factor, maximizing output from the available water.