Country: Paraguay

Document type: National Roadmap

Title: Towards the Green Hydrogen Roadmap in Paraguay

Released: June 2021

Summary Points:

The roadmap complements the National Sustainable Energy Agenda 2019-2023 which included green hydrogen as an ‘energy vector’ that can contribute to the development of the country’s energy sector, and which recommended from the evaluation of its use as a fuel for long-distance transportation.

The roadmap examines the use of Paraguay’s renewable energy potential to produce green hydrogen for domestic use as well as potential export to the region.

The roadmap highlights Paraguay’s potential to produce green hydrogen at prices of around US$2.2 per kilogram.

A key focus of the roadmap is on decarbonisation of the transport sector (the largest consumer of fossil fuels in Paraguay).

The roadmap is divided into two documents:

  • A conceptual framework, containing the guidelines to promote the development of green hydrogen for sustainable socio-economic growth in Paraguay; and
  • An innovation proposal, with guidelines for a green hydrogen supply and utilisation demonstration projects in the country.

The innovation proposal identifies three pilot project options – located in Villa Elisa (Asunción Metropolitan Area), Ciudad del Este and Encarnación, with a focus on demonstrating the feasibility of hydrogen use in the transportation sector. The innovation proposal estimates that an overall investment of US$10 million could be required for its implementation, including all the additional components, some vehicles and the skills development component.

In April 2023, media reports indicated that the Paraguay Government was making progress in the development of market studies and that a national strategy is contemplated for the non-transportation sectors.

In September 2021, IRENA, in cooperation with the Government of Paraguay, released its Renewables Readiness Assessment: Paraguay report; the report identifies that Paraguay has high renewables-based energy potential which could not only be used to decarbonise certain sectors but also could be utilised to produce green hydrogen.


Reviewed: January 2024