Paraguay Plans to Terminate Special Power Contracts for Mining Companies by End of 2027, as AI Drives Competition for Hydropower
TechFlow reports, on Nov. 14, according to CoinDesk, Paraguay's national power company ANDE plans to let all special power contracts with crypto mining companies expire on Dec. 31, 2027, as rising domestic electricity demand and AI firms competing for cheap hydropower are intensifying power supply pressures.ANDE forecasts $350 million in revenue from crypto miners in 2026; as of April, miners had contracted for approximately 944 megawatts of power. Company engineers have proposed limiting the combined electricity consumption of mining, AI, and data centers to 700 megawatts starting in 2028, allocating power through bidding; however, this proposal has not yet been adopted.Meanwhile, Kuntur, an affiliate of the AI project Iguazú AI City, has signed a 15-year power supply contract with ANDE, capped at 286 megawatts.
TechFlow reports, on Nov. 14, according to CoinDesk, Paraguay's national power company ANDE plans to let all special power contracts with crypto mining companies expire on Dec. 31, 2027, as rising domestic electricity demand and AI firms competing for cheap hydropower are intensifying power supply pressures.
ANDE forecasts $350 million in revenue from crypto miners in 2026; as of April, miners had contracted for approximately 944 megawatts of power. Company engineers have proposed limiting the combined electricity consumption of mining, AI, and data centers to 700 megawatts starting in 2028, allocating power through bidding; however, this proposal has not yet been adopted.
Meanwhile, Kuntur, an affiliate of the AI project Iguazú AI City, has signed a 15-year power supply contract with ANDE, capped at 286 megawatts.
