The government is also planning to restructure failing municipal water companies around the country.
The Colombian water utility will spend US$22mn over this year and the next in 16 municipalities of the Valle del Cauca department.
The company is planning to double its revenues in Brazil over the next two years.
The creation of the public company was approved by the cabinet in August, with a bill subsequently submitted to congress for approval.
The plan entails nine projects that require a total investment of US$75mn, for which the Santa Fe government has requested financial aid from the federal government. Some of the initiatives have already been completed or are underway.
The long-delayed Lake Titicaca basin sewerage treatment project will get underway next year, even as the government pledges billions to flooding reconstruction and other water projects around the country.
The new director of IDAAN also rejected claims that the utility could be privatized.
The water regulator is looking to set guidelines on water use grants for the dilution of domestic effluents in sewerage systems.