Countries › Paraguay › Guide › 13. Regulation › Environmental crimes and liability in Paraguay: Ley 716, Penal Code offences, fines in minimum wages and company managers

Environmental crimes and liability in Paraguay: Ley 716, Penal Code offences, fines in minimum wages and company managers

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Last verified: 2026-10-28 · Status: Stable

Paraguay punishes environmental harm mainly through criminal law: Ley 716 of 1995 sets prison terms with fines of up to 2,000 daily minimum wages for illegal logging and clearing, untreated effluents, emissions above limits and false data in impact studies, and the Penal Code adds offences for polluting water, air and soil and mishandling waste. Penalties reach 10 years when water or air pollution is linked to industrial or commercial activity, and the managers who order, carry out or allow the conduct are the ones prosecuted. Holding a DIA does not exempt a company from civil liability for damage, and fines in minimum wages rise in guaraníes with each wage increase.

USD figures use PYG 5,868.31 per US dollar, the Banco Central del Paraguay reference quotation for 28 October 2026. Amounts set in minimum wages use the monthly minimum wage of PYG 3,044,000 and the daily minimum wage (jornal) of PYG 117,077 in force since 1 July 2026 under Resolución MTESS 670/2026. Conversions are for orientation only and move with each wage adjustment.

Key facts

Maximum fine under Ley 716 (logging, wetlands, effluents)	2,000 daily minimum wages (PYG 234,154,000) PYGLey 716 art. 4 and 8, as of 2026-10-28 · in force
Maximum prison for forest and wetland offences (Ley 716 art. 4)	8 yearsLey 716 art. 4, as of 2026-10-28 · in force
Maximum prison for water or air pollution linked to industrial or commercial activity	10 yearsCódigo Penal art. 197 and 198, as of 2026-10-28 · in force
False data in an environmental impact study	1 to 5 years and 500 to 1,500 daily minimum wages Ley 716 art. 5 d), as of 2026-10-28 · in force
Corporate criminal liability for environmental offences	Individuals acting for the company are liable (Penal Code art. 16) Código Penal art. 16; Ley 716 art. 1, as of 2026-10-28 · in force

The rule

1. Scope of Ley 716. The law protects the environment and quality of human life against those who order, carry out or, by virtue of their powers, permit or authorise activities that harm ecosystems, the sustainability of natural resources or quality of life. Manufacturing, importing, trading or using nuclear, chemical or biological weapons carries 5 to 10 years, confiscation and a fine of four times their value, and bringing toxic or hazardous waste into the country or trading in it carries 5 to 10 years.
Cost to do it: Criminal exposure.
Example: A plant manager who authorises the import of hazardous waste for disposal commits the art. 3 offence, punished with 5 to 10 years. / Directors who approve, not only employees who execute, are within art. 1.Ley Nº 716, Sanciona delitos contra el medio ambiente, Art. 1, 2 and 3, 1995-09-26 official text · verified 2026-10-28

2. Forests, water bodies, wildlife and impact studies. With 3 to 8 years and fines of 500 to 2,000 daily minimum wages: logging or burning forests or vegetation that seriously harms the ecosystem; logging protected or special forests; illegal trafficking or sale of logs; and hydraulic works such as canalisation, drainage or damming that alter wetlands or watercourses without express authorisation. With 1 to 5 years and 500 to 1,500 daily minimum wages: destroying or trafficking endangered wildlife; unauthorised genetic manipulation or spreading plagues; importing restricted species or pests; using false data or altering true data in environmental impact studies or standard setting; and evading or deficiently executing legally required mitigation measures. Breaching hunting, gathering or habitat rules for endangered species, and listed fishing offences, carry 1 to 5 years or 500 to 1,000 daily minimum wages, with confiscation.
Cost to do it: Fines of PYG 58,538,500 to PYG 234,154,000 (about US$9,975 to US$39,901) under art. 4.
Example: Draining a wetland for rice paddies without authorisation risks 3 to 8 years and up to PYG 234,154,000 (art. 4 d). / A consultant who inflates forest cover data in an EIA risks 1 to 5 years and up to PYG 175,615,500 (about US$29,926) under art. 5 d).Ley Nº 716, art. 4 to 6; Ley Nº 2717/2005 (art. 6), Ley 716 art. 4, 5 and 6, 2005-10-04 official text · verified 2026-10-28 · changed: Ley Nº 2717, promulgated on 4 October 2005, rewrote art. 6 of Ley 716 to add listed fishing offences.

3. Industrial emissions, effluents and other offences. Those responsible for factories or industries that emit polluting gases or waste into the air above authorised limits face 2 to 4 years and 500 to 1,000 daily minimum wages; those that discharge untreated effluents or industrial waste into lakes, watercourses, groundwater or their banks face 1 to 5 years and 500 to 2,000. Building in excluded, restricted or protected areas carries 6 months to 2 years and 200 to 800; breaching noise, vibration and radiation limits, ecological closures or sanitary quarantines, or unjustifiably refusing to cooperate in preventing violations, carries 6 to 18 months and 100 to 500; dumping hospital or laboratory waste that must be incinerated carries 6 to 12 months and 100 to 500; vehicle emissions above limits are fined 100 to 200 daily minimum wages with a ban on circulation. Aggravating factors include commercial purpose, magnitude or irreversibility, breach of treaties or harm to other countries, acts in national parks or near watercourses, and acts by enforcing officials, who are also dismissed and barred for 10 years. The article on dumping and burning rubbish was repealed in 2021 and replaced by a new fire offence.
Cost to do it: Fines of PYG 11,707,700 to PYG 234,154,000 depending on the offence.
Example: A tannery that discharges untreated effluent into a stream risks 1 to 5 years for its responsible managers and up to PYG 234,154,000 (art. 8). / Emissions above the authorised limits at a cement kiln expose its plant manager to 2 to 4 years and up to about US$19,951 (art. 7).Ley Nº 716, art. 7 to 11, 13, 14 and 15; Ley Nº 6779/2021, art. 4, Ley 716 art. 7, 8, 9, 10, 11, 13, 14, 15, 2021-10-29 official text · verified 2026-10-28

4. Fires. Causing fires that affect forests, palm groves, grasslands, scrub, hills, crops and plantations, wetlands, livestock, wildlife, communal land, landfills, urban parks or populated places, in breach of fire management rules, is punished with up to 5 years or a fine, and up to 2 years or a fine if negligent; burning rubbish on roads, streets, watercourses or their surroundings is punished with a fine. The National Police, under the Public Prosecutor, investigates each fire.
Cost to do it: Criminal exposure; fines under the Penal Code day fine system.
Example: A ranch manager whose pasture burn spreads into a neighbouring forest in breach of fire rules risks up to 2 years if negligent. / Large ranching investments in the Chaco should have written fire management protocols aligned with the applicable rules.Ley Nº 6779/2021, Tipifica el hecho punible de producción de incendios que afecten el medio ambiente, Art. 2, 3 and 4, 2021-10-29 official text · verified 2026-10-28 · changed: Ley Nº 6779, promulgated on 29 October 2021, created the fire offence and repealed art. 12 of Ley 716.

5. Penal Code offences against the natural bases of life. Unduly polluting or altering waters (including oil spills in breach of rules) is punished with up to 5 years or a fine, up to 10 years when linked to industrial, commercial or public administration activity, and up to 2 years if negligent; failing to prevent or report known water pollution one should have avoided carries up to 2 years. Air pollution or harmful noise from installations beyond authority requirements or emission limits carries up to 5 years, 10 when linked to industrial or commercial activity. Using fertilisers, pesticides or other harmful substances against the rules is punished with up to 5 years; treating, storing, dumping or discharging hazardous waste outside authorised facilities or treatments with up to 5 years; bringing hazardous or radioactive waste into the country with up to 5 years, 10 with intent to profit; and damaging nature reserves or national parks through mining, excavation, hydrological change, wetland drainage, logging or fire with up to 2 years.
Cost to do it: Criminal exposure; fines in day fines (5 to 360, each up to 510 daily minimum wages).
Example: A fuel depot that lets diesel leak into a stream and does not report it exposes its managers to up to 2 years for omission (art. 197 num. 5), and up to 10 years if the pollution is linked to its commercial activity. / A mining company that drains wetlands inside a national park risks prosecution of its managers under art. 202.Ley Nº 1160/1997, Código Penal, art. 197 to 202 (art. 198 as amended by Ley Nº 3440/2008), Art. 197, 198, 199, 200, 201 and 202, 2008-07-16 official text · verified 2026-10-28

6. Liability of companies and their managers, and civil liability. Criminal liability attaches to individuals: whoever acts as representative or organ member of a company, or as a manager or person expressly put in charge of its duties, answers personally even when the offence's conditions exist only in the company. Holding a DIA does not exempt the developer from civil liability for damage to third parties, and environmental inspections can lead to a new assessment, plan adjustments or suspension in addition to administrative, civil or criminal proceedings.
Cost to do it: Civil damages are uncapped and assessed by the courts.
Example: The country manager of a foreign owned feedlot answers personally for untreated effluent discharges they ordered or allowed. / A DIA for a US$30 million plant does not cap or exclude damages claims by downstream farmers.Ley Nº 1160/1997, Código Penal, art. 16; Decreto Nº 453/2013, art. 8 b) and e), Código Penal art. 16; Decreto 453 art. 8, 2013-10-08 official text · verified 2026-10-28

Article	Conduct	Prison	Fine (daily minimum wages)	Fine PYG	Fine USD
4	Serious forest harm, protected forests, log trafficking, unauthorised wetland works	3 to 8 years	500 to 2,000	58,538,500 to 234,154,000	9,975 to 39,901
5	Endangered wildlife, genetic manipulation, restricted species, false EIA data, evading mitigation	1 to 5 years	500 to 1,500	58,538,500 to 175,615,500	9,975 to 29,926
6	Hunting, gathering, habitat and listed fishing offences	1 to 5 years or fine	500 to 1,000	58,538,500 to 117,077,000	9,975 to 19,951
7	Industrial air emissions above limits	2 to 4 years	500 to 1,000	58,538,500 to 117,077,000	9,975 to 19,951
8	Untreated effluents into water	1 to 5 years	500 to 2,000	58,538,500 to 234,154,000	9,975 to 39,901
9	Building in protected areas	6 months to 2 years	200 to 800	23,415,400 to 93,661,600	3,990 to 15,961
10	Noise and radiation limits, closures, refusal to cooperate	6 to 18 months	100 to 500	11,707,700 to 58,538,500	1,995 to 9,975
11	Hospital or laboratory waste	6 to 12 months	100 to 500	11,707,700 to 58,538,500	1,995 to 9,975
13	Vehicle emissions or noise above limits	None	100 to 200	11,707,700 to 23,415,400	1,995 to 3,990

Ley 716 offences and fines (jornal PYG 117,077; USD at PYG 5,868.31)

Worked example

A dairy processor's treatment plant fails and it discharges untreated whey into a stream for two weeks. Its plant manager and the director who refused the repair budget face 1 to 5 years and fines of 500 to 2,000 daily minimum wages (PYG 58,538,500 to PYG 234,154,000, about US$9,975 to US$39,901) under Ley 716 art. 8, plus up to 10 years under Penal Code art. 197 because the pollution is linked to industrial activity. The company's DIA does not shield it from damages claims by downstream users.

Step by step

Map each site's emission and effluent limits and keep monitoring records that show compliance with authorised levels.
Assign named managers responsibility for environmental compliance, since criminal liability is personal (Penal Code art. 16).
Verify the origin of timber and logs bought and the legality of any clearing or wetland works before contracting.
Build spill and fire response protocols, including prompt reporting to authorities to avoid omission offences (Penal Code art. 197 num. 5).
Check consultant data in impact studies, since false or altered data is a crime (Ley 716 art. 5 d).

Common traps

Criminal fines in Ley 716 are in daily minimum wages, so they increase every July with the wage.
Those who permit or authorise harmful activities by virtue of their powers are covered, including managers and officials (Ley 716 art. 1).
Pollution linked to a business is aggravated: up to 10 years for water and air offences (Penal Code art. 197 and 198).
Failing to report pollution you should have prevented is itself punishable (Penal Code art. 197 num. 5).
The old Ley 716 art. 12 on dumping rubbish was repealed in 2021; the current rule on burning rubbish is in Ley 6779/2021 art. 2.

Sources

← Environmental impact authorisation in Paraguay: which projects need a DIA, the MADES procedure, deadlines and tacit approvalConsumer protection rules for businesses in Paraguay: information, prices, warranties, advertising, contract terms and SEDECO fines →

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