The country already relies on wind farms to supply on quarter of its electricity needs, but that proportion is expected to rise as it dramatically increases installed capacity over the next two years. Installed wind capacity is currently 219MW and set to hit 490MW by the end of 2014.
Thanks to a system of public-private investments, tax breaks, and long-term power purchases agreement with state energy firm UTE. The boost is a result of investments totaling US$2.8 billion.
Despite the growth, it is still unlikely to provide the impetus required to stimulate growth of wind manufacturing plants as the capacity is still too small. This is something the Uruguayan government accepts.
So far Vestas, Nordex and Gamesa have won the bulk of contracts in the country.
"We have far surpassed the challenges we set ourselves. Uruguay is taking a tremendous leap forward," said the country's president Jose Mujica. By 2016, the country will be home to 550 wind turbines spread between 12 wind farms, with another 20 projects in development.