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Uruguay Allocates 670 Hectares for 350 MW Solar Park to Power 500 MW Data Center Complex

By: IDCNOVARegion: Latin America
The Uruguayan government has identified approximately 670 hectares of land in the department of Florida for the development of a 350 MW solar park, a key component of a broader data center complex that could ultimately reach 500 MW of capacity. The project, to be developed by Spanish renewable energy company Solaria Energía y Medio Ambiente, represents one of the largest infrastructure investments in the country's history and underscores Uruguay's ambition to leverage its renewable energy advantages to attract high-density computing infrastructure.

The land, owned by state-owned utility Administración Nacional de Usinas y Trasmisiones Eléctricas (UTE), has already been rezoned to accommodate the solar facility. The total planned investment amounts to $5.7 billion, with $200 million allocated to solar power generation and $5.5 billion directed toward the data center complex, which will operate under a free-trade zone regime. The solar park is designed to supply clean electricity to the data centers through a power purchase agreement with UTE that carries a term of up to 40 years.

On November 9, Uruguayan President Yamandú Orsi convened a meeting with the governors of Canelones, Francisco Legnani; San José, Ana María Bentaberri; and Florida, Carlos Enciso, to establish a coordination timetable for the project's implementation. Industry, Energy and Mining Minister Fernanda Cardona and Presidential Secretary Alejandro Sánchez also attended the meeting. Enciso confirmed that UTE owns the land required for the solar facility and that its land-use designation has been amended accordingly. The Cardal area in Florida was highlighted for its existing electricity transmission and distribution infrastructure, which the government considers important for the development.

Cardona said proximity to grid connection points was a key factor in selecting the sites, with the aim of reducing connection times and costs. The data centers will be located in the departments of Canelones and San José, with approximately 100 hectares and 150 hectares allocated to each, respectively. The location of the first development phase has yet to be determined, with the decision depending on land acquisition, environmental approvals and the completion of administrative procedures with the relevant departmental authorities and legislative bodies. Cardona said technical meetings will be held with each departmental government to assess potential sites, infrastructure requirements and administrative procedures.

The minister also rejected reports that the project would occupy 2,700 hectares, saying the land under consideration would not displace existing productive activities. Final land requirements will be determined through technical and environmental studies. The agreement between Solaria and the Uruguayan government covers two development phases. The first phase will include 200 MW of data center capacity and the full 350 MW of planned solar capacity, while the second phase will add a further 300 MW of data center capacity. Solaria will be responsible for developing and operating the free-trade zone, managing the infrastructure and connecting the complex to Uruguay's 500 kV transmission grid.

The project comes as Uruguay seeks to expand its renewable energy capacity, with the government planning to add approximately 500 MW of renewable energy by 2030, with a focus on solar PV. According to the latest figures from the International Renewable Energy Agency, Uruguay had 339 MW of installed and grid-connected solar capacity at the end of 2025, up from 336 MW a year earlier. The country already generates around 97% of its electricity from renewable sources, primarily hydropower and wind, providing a strong foundation for energy-intensive data center operations. The initiative reflects a growing trend in Latin America of pairing renewable energy generation with digital infrastructure, as governments seek to capture investment from global technology companies while maintaining their clean energy credentials.