Uruguay is making remarkable strides in electricity generation as it now sources nearly all—an impressive 96%—of its electricity from low-carbon sources. This commitment to cleaner energy comes primarily from hydropower, wind, and biofuels, which constitute more than half, almost a third, and a sizable portion of its electricity production, respectively. Fossil fuels contribute a mere 4%, with solar energy making a small but essential contribution. With such achievements in sustainability, Uruguay contributes to lowering emissions not just within its own borders, but also in neighboring regions through its status as a significant net exporter of electricity. As the country moves towards electrification of other sectors like transport, heating, and industry, more electricity will be required to support these ambitious, yet necessary, transitions.

Is Electricity Growing in Uruguay?

When examining the patterns of electricity consumption in Uruguay, it's concerning to note a decline in recent years. In 2026, the consumption per person was 3936 kWh, a noticeable drop from the peak of 4730 kWh in 2019. This decline also reflects a reduction in low-carbon electricity generation, which decreased from a previous high of 4648 kWh/person in 2019 to 3774 kWh/person in 2026. Such trends might hinder the nation's efforts to further electrify its economy and ensure sustainable growth, making it essential to address the factors that have contributed to this decrease and find ways to stimulate an upward trajectory in both general and low-carbon electricity consumption.

Suggestions

To ensure that Uruguay continues its successful transition towards greener electricity, there are ample opportunities to expand upon its existing achievements. While wind energy is already a major contributor to the country's clean energy portfolio, further investment in wind technology could enhance its contribution even more significantly. Alongside this, looking to the future, Uruguay should consider the benefits of incorporating more solar and nuclear energy to supplement and diversify its low-carbon grid. These steps would not only strengthen Uruguay’s electricity generation capacity but also advance the larger goals of reducing reliance on fossil fuels and increasing the resilience and sustainability of its energy system.

History

Electricity Imports and Exports

Balance of Trade

* 12M = Last 12 months (Jul 2025 – Jun 2026) — a rolling 12-month period, not a calendar year.