Paraguay

When: 2016–2018

Purpose: Assess the effects of fiscal, energy, transport, and household-fuel policies on GDP, government spending, power-sector investment, electricity exports, energy access, and public transport.

What happened: Paraguay’s workshops developed an energy model covering power and transport as well as biodiesel and bioethanol chains. Follow-up scenario work focused on investment planning, transport energy efficiency, and fuel substitution for cooking and water heating in the residential sector.

Key insights:

• The modelling process linked macroeconomic questions with energy-system choices, so tax, transport, power-investment, and household-fuel policies could be examined together.
• Biofuel supply chains were included explicitly through biodiesel and bioethanol pathways, allowing transport policy to be evaluated with domestic energy-production implications.
• Residential fuel substitution was treated as both an energy-efficiency issue and a development issue, especially for cooking and water heating where traditional biomass dependence can persist.

Models: CGE-UNDESA, OSeMOSYS

Stakeholders: Secretary of Planning for Economic and Social Development, UN DESA, UNDP, and KTH.