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Electricity generation from the 14GW Itaipu hydropower plant rose 1.6% in 2015, as Brazil's worst drought in 85 years showed signs of easing.
Output from the facility on the Brazil-Paraguay border reached 89.2TWh, up from 87.8TWh in 2014, plant operator Itaipu Binacional said in a statement.
Despite the year-on-year increase, the figure was still down significantly from the 98.6TWh generated by the facility in 2013.
"The drought continued to have an impact in 2015 but the situation improved in the second half of the year," the operator said.
According to Itaipu Binacional, output from the plant is expected to surpass 90TWh this year, as improved rainfall coincides with expected higher demand.
More than 75% of Paraguay's electricity comes from Itaipu, which also supplies 17% of Brazil's needs.
Meanwhile, the Yacyretá hydropower dam on the Paraguay-Argentina border generated an average of 19.9TWh in 2015, representing 99.7% of the amount forecast, according to the EBY binational entity that operates the plant.
Paraguay's state power company Ande delivered a record 2.6TWh to the country's grid from the dam, breaking the previous high of 2.5TWh set in 2012.