A “historic agreement” on the issue of rates and use of electricity generated by the Itaipú hydroelectric dam was signed by the governments of Paraguay and Brazil, stated the Paraguayan president, Santiago Peña, on May 9 on the social network x.
The new agreement reportedly sets the rate at $19.28 per kilowatt per month for 2024, 2025 and 2026. This would make the new rate 15.38% higher than the current $16.71.
When commenting on the agreement reached, Peña highlighted that this pact completes “the first phase of vital negotiations” with Brazil, whose results “cause great satisfaction”.
The country’s leader emphasized that this “historic agreement”which “represents a triumph for Paraguay and Brazil”Since “benefits both countries” and generates significant additional income to make long-delayed investments.
According to the president, the new monthly rate will bring Paraguay annual income of $1.25 billion, of which $280 million will be royalties and another $650 million will be allocated to social investment. Qualify the pact as an achievement “historical vindication of Paraguay”He recalled that the agreement will allow Paraguay to directly and immediately sell energy to the Brazilian market. Thus, according to the President, after more than half a century, “The long-awaited energy sovereignty”.
Peña explained that the income that will be received as a result of the current negotiations will be invested “in the fundamental areas of growth and development of the country”, such as childhood, education, health care, nutrition. In addition, there are construction plans. “three large hospitals in the interior of the country”, which should complement the four objects currently in development. Road infrastructure will also be improved to address the isolation many communities currently experience.
In addition, the proceeds will also be used for public transportation, energy infrastructure and industrialization of the country.
Source: Rossa Primavera
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