Uruguay already gets about 96% of its electricity from low-carbon sources—a remarkable achievement. Over the twelve months from July 2025 to June 2026, hydropower supplied about 45% of electricity, wind almost a third, biofuels about 14%, and solar nearly 4%. Fossil fuels accounted for only about 4%. Uruguay is also a significant net exporter of electricity, helping neighboring regions lower their emissions. The next challenge is to electrify transport, heating, and industry, which will require much more clean electricity.

Is Electricity Growing in Uruguay?

The latest figures do not show electricity consumption reaching new heights: in 2026, consumption stood at about 3,940 kWh per person, roughly 790 kWh—or 17%—below the record of 4,730 kWh set in 2019. Low-carbon electricity generation was about 3,770 kWh per person, around 870 kWh—or 19%—below its 2019 record of 4,648 kWh. These comparisons do not establish the year-to-year trend, but they show that both measures remain well below their historical peaks. That gap is concerning when electrification and growing demand from activities such as AI call for more clean electricity.

Suggestions

Uruguay can increase low-carbon electricity generation by expanding wind power, building on a technology that already supplies almost a third of its electricity. More solar generation would further broaden its clean electricity supply, while stronger grids and storage could help deliver that electricity when needed. Uruguay should also consider nuclear power as a potential additional source of low-carbon electricity for its longer-term needs. Expanding clean generation would support domestic electrification and allow Uruguay to continue helping its neighbors reduce reliance on fossil fuels, with their associated climate impacts and air pollution.

History

Historically, Uruguay’s low-carbon electricity generation has been strongly shaped by changes in hydropower. The early 1980s brought increases of about 2 TWh in both 1980 and 1983, followed by a decline of nearly 2 TWh in 1988. During the 1990s, substantial gains in 1990, 1992, and 1998 were followed by a drop of almost 4 TWh in 1999. The 2000s saw repeated swings: gains in 2001 and 2005, and a particularly strong increase of 4.5 TWh in 2007, contrasted with declines of roughly 3–4 TWh in 2004, 2006, and 2008. Hydropower rose again by about 3 TWh in 2010 and 2013, with a decline of nearly 2 TWh between them in 2011. More recently, hydropower fell by 4 TWh in 2020 and about 2 TWh in 2023, while biofuel generation declined by nearly 2 TWh in 2022. Hydropower’s rebound of almost 4 TWh in 2024 was welcome, underscoring the value of expanding a broader clean electricity supply.

Electricity Imports and Exports

Balance of Trade

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