It has one of the world’s largest hydro-electric powerplants

The Itaipu Dam on the River Parana, shared with Brazil, is the world's second-largest operational hydroelectric power plant. The plant, which has a 14GW installed capacity, is managed by Itaipu Binacional and is located on the border between Brazil and Paraguay. Itaipu's energy production contributes to meeting the needs of both countries. Brazil consumes around 90% of the electricity generated by the facility.

The dam's reservoir, which covers 1,350km2, is Brazil's seventh-largest reservoir, with the best coefficient of water utilization of 10.4MW/km2. Itaipu generated 79.44 million MWh of electricity in 2019, while the plant set a new global record for yearly power generation in 2016 with a production of 103.1 million MWh. It is the same amount of energy as Paraguay consumes in 11 years and Argentina consumes in one year. In 2008, the energy generated supplied 87 percent of the electricity consumed in Paraguay and 19 percent of the demand for the Brazilian linked system.