Uruguay stands out as a remarkable example of sustainable electricity generation, with a striking 98% of its electricity being sourced from low-carbon, clean energy. Hydropower continues to be the backbone, contributing nearly half of the total electricity. Wind power closely follows, accounting for more than a third, which highlights the country's successful investments in harnessing nature's resources. Although biofuels and solar energy provide smaller shares, collectively they add up to substantial clean energy output. Merely under 2% of Uruguay's electricity comes from fossil fuels, underscoring the country's dedication to minimizing its reliance on polluting sources. This achievement sets a strong foundation for further electrifying other sectors such as transport, heating, and industry, which will demand an increase in electricity production to sustainably satisfy future needs.
Data sources used on this page include Ember, IEA and World Bank. More about data sources →
Is Electricity Growing in Uruguay?
Despite Uruguay's impressive low-carbon achievements, electricity consumption per person has been declining. In 2025, the per capita electricity use was 3,803 kWh, a noteworthy decrease from the peak of 4,730 kWh recorded in 2019. Within this broader trend, low-carbon electricity generation per person also experienced a decline, from 4,648 kWh in 2019 to 3,735 kWh in 2025. This downward trajectory in both overall and low-carbon electricity consumption poses concerns, as it could impact Uruguay's capacity to transition other sectors to clean electricity, a crucial step in fully decarbonizing its energy systems.
Suggestions
To sustainably expand its clean electricity capacity, Uruguay could significantly benefit by further increasing its wind energy infrastructure. Given wind power's already substantial contribution to the country's electricity portfolio, its further expansion would likely pay dividends in enhancing sustainable electricity output without introducing major new dependencies on fossil fuels. Moreover, Uruguay should seriously consider embracing solar power, which, while currently smaller in contribution, holds enormous potential as prices continue to decrease and technology advances. Additionally, exploring options for nuclear energy could provide Uruguay with a steady and reliable source of clean electricity, capable of meeting the anticipated rise in demand as the country looks to electrify additional economic sectors. Emphasizing these low-carbon avenues will safeguard Uruguay's leadership in sustainable electricity while fostering economic and environmental resilience in the face of climate change.
History
Since the late 20th century, Uruguay's electricity landscape has been deeply intertwined with the development of hydropower. During the 1980s, major increases, such as those in 1980 and 1983, brought additional capacity, punctuated by fluctuations in subsequent years. The 1990s saw both significant gains and declines, with notable downturns in 1999 and 2004, emphasizing the variability of water-dependent energy generation. The 2000s were marked by robust expansion of hydropower, particularly in 2007, but also experienced temporary setbacks. Recent years further exhibited this pattern of variability, with reductions in hydroelectric output due to climatic and other factors. Despite hydropower's fluctuating nature, Uruguay's recent diversification into biofuels and hydropower's recovery in 2024 signals a mature and evolving approach to maintaining and increasing its low-carbon electricity supply for the future. Developing wind and emerging technologies like solar and nuclear will enhance the grid's stability and ensure robust, sustainable electrification.
