Itaipú transferred $239 million to Paraguayan state in first half of 2026

The Itaipú hydroelectric plant, jointly operated by Paraguay and Brazil, transferred $239 million to the Paraguayan state during the first six months of 2026. This figure represents an 11.1% decrease compared to the same period in 2025, when $269 million was transferred.

These transfers are stipulated by Annex C of the Itaipú Treaty, which outlines the financial framework for the dam, recognized as one of the world's largest. According to a statement from the Itaipú Binational Entity, the Paraguayan Ministry of Economy and Finance received $131 million in royalties and $66 million for energy cession compensation during the first semester. Additionally, $42 million was deposited to Paraguay's National Electricity Administration (ANDE) as reimbursement for administrative charges and capital profits.

In June alone, Itaipú transferred $33.7 million to the Paraguayan Treasury. Since the administration of Paraguayan President Santiago Peña began in August 2023, the hydroelectric plant has paid approximately $1.461 billion to the state.

The 11.1% reduction in transfers this semester amounts to a difference of about $30 million compared to the first half of 2025. Annex C, signed in 1973, dictates that both countries are entitled to 50% of the energy generated by the plant. Paraguay and Brazil are currently negotiating this annex, which was due for review 50 years after its entry into force in August 2023. Itaipú, situated on the Paraná River bordering Hernandarias, Paraguay, and Foz de Iguazú, Brazil, ranks as the world's third most powerful hydroelectric plant, following China's Three Gorges and Baihetan.