Paraguay Sets 2027 Limit for Intensive-User Power Contracts as AI Project Secures 286 MW

Paraguay’s state electricity utility, ANDE, has confirmed that special electricity-supply contracts for intensive users, a category that includes cryptocurrency mining and data-center activities, cannot run beyond December 31, 2027 under its reviewed procedure. The deadline puts a defined endpoint on the current contract framework used by Bitcoin miners while the utility expands a separate long-term arrangement for an AI data-center project.

ANDE signed a 15-year electricity-supply contract with Kuntur S.A. for up to 286 MW. According to ANDE, the supply is scheduled to begin at 6 MW on December 1, 2026, increase to 146 MW in April 2028, and reach 286 MW in April 2029. The staged schedule ties the full capacity commitment to a multi-year buildout rather than an immediate draw of the entire allocation.

The contract gives a concrete example of how large AI-oriented electricity demand is entering Paraguay’s power planning. Independent Paraguayan reporting linked the agreement to Araico’s planned AI campus. ANDE’s announcement confirms the Kuntur contract and its capacity schedule, but the reviewed material does not provide further rollout details on the project’s facilities, construction milestones, or final operating configuration.

CoinDesk and Paraguayan media have reported that crypto mining could generate $350 million for ANDE in 2026. That projection was not independently confirmed in ANDE’s announcement reviewed for this report. It should therefore be treated as a reported estimate, rather than as a figure verified by the utility.

Kuntur agreement carries higher published tariff levels

ANDE said the Kuntur agreement uses differentiated tariffs that average $56.39 per MWh at 23 kV and $48.91 per MWh at 220 kV. ABC Color reported that the 220 kV rate was roughly above the approximately $44 per MWh associated with existing crypto-mining contracts. The published figures concern different supply arrangements and voltage levels, so they do not by themselves establish a full like-for-like comparison across all intensive users.

The agreement places the development within the broader market covered by Artificial Intelligence News. Its 15-year term also contrasts with the December 2027 limit specified for the special intensive-user contract procedure reviewed by ANDE.

Related reading: Artificial Intelligence News on BTCNews.

What the 2027 deadline means for miners

The ANDE procedure states that supply contracts for the special intensive-user group may not extend past December 31, 2027. This applies to the reviewed framework covering crypto-mining and data-center activities. CoinDesk separately reported that miners’ contracts are set to expire on that date, consistent with the procedural limit.

The confirmed implication is that existing mining operations using this contract category face a fixed policy horizon under the current rules, while Kuntur has a dedicated long-term supply agreement. Whether miners receive replacement contracts, migrate to another tariff structure, or reduce consumption after the deadline was not established by the evidence reviewed.

Related reading: Ethlabs Proposes 2027 Target for Ethereum Post-Quantum Readiness on BTCNews.

Competition for capacity becomes a policy issue

ABC Color reported that ANDE engineers called for a competitive process for supplying AI centers and estimated that such an approach could add $98 million annually. That report, together with the Kuntur contract, indicates that the allocation and pricing of large power loads is becoming an active issue for the utility.

For the crypto sector, the next confirmed milestone is the 2027 contract cutoff. For the AI project, the relevant milestones are the scheduled increases in contracted supply through April 2029. Readers following related infrastructure and technology policy can also see Ethlabs Proposes 2027 Target for Ethereum Post-Quantum Readiness.

Sources

• Administración Nacional de Electricidad (ANDE): ANDE Y KUNTUR FIRMAN CONTRATO DE SUMINISTRO DE ENERGÍA ELÉCTRICA POR 15 AÑOS
• Administración Nacional de Electricidad (ANDE): Manual de Procedimientos: Suministro de energía eléctrica a grupo intensivo especial
• ABC Color: ¿Es beneficioso para la ANDE? Centro de IA pagará entre US$ 48,91 y 56,39 por MWh de la energía
• ABC Color: Ingenieros de la ANDE piden concurso para dar energía a centros de IA y calculan US$ 98 millones más al año
• CoinDesk: Bitcoin miners pay Paraguay $350 million a year, but AI is pushing them out

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