The town is located next to the homonymous bofedal in front of the hydrological system of Lake Chungará, the Cotacotani lagoons and the two famous volcanoes Parinacota & Pomerape. At an altitude of 4430 meters above sea level, it is the highest town in Chile, and only Peru, China, Bolivia and India have even higher towns.

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The picture shows a micro-solar-PV-system which is used to generate electricity for a hydraulic pump of a water storage facility. Water is transported from a nearby lagoon to supply all of the 29 inhabitants of Parinacota.