Corsan in the running for US$357mn PAC waterworks projects

Friday, October 7, 2011

Southern Brazil's Rio Grande do Sul state water utility Corsan is in the running to receive 632mn reais (US$357mn) in funding under the country's PAC growth acceleration plan, the firm's institutional relations superintendent André Beltrão Finamor told BNamericas.

The utility submitted projects worth 750mn reais earlier this year. Now 84.3% of the funding has been approved in an initial stage, of which 384mn reais is for wastewater collection and treatment projects and 249mn reais for potable water projects.

The towns of Imbé, Pinhal, and Canela are among those that most need funding. They have investment plans of 30.9mn reais, 22.6mn reais and 19.3mn reais respectively, according to Finamor.

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In Imbé, the company is planning to build a sewerage system including 17.6km of pipeline. The work also entails installing five pumping stations, 5,825m of outfalls and 1,542 domestic connections, as well as building treatment plant with a flow rate of 64.4l/s.

Imbé currently has no wastewater collection or treatment service, according to the executive.

Corsan is also planning an expansion for the sewerage system in Canela. Investments will go toward installing 20km of pipeline and 1,570 building connections. A second module will be added to the town's Santa Terezinha wastewater treatment plant, with a flow rate of 45l/s.

Finally, a potable water system is planned for the town of Pinhal. Work includes installing pipelines, a pumping station, a reservoir, and a water treatment plant including sludge treatment, said Finamor.

The projects are up for funding consideration under PAC's group III category, which covers municipalities with up to 50,000 residents.

A total of 5bn reais has been earmarked for projects in this group, including 1bn reais from the cities ministry through Caixa Econômica Federal (CEF) and national development bank BNDES, and 4bn reais in grants from national health foundation Funasa.