Corsan signs sanitation concession contract with Derrubadas

Monday, April 4, 2011

Brazil's Rio Grande do Sul state water utility Corsan has signed a 25-year concession contract to provide sanitation services for the town of Derrubadas, a company spokesperson told BNamericas.

The contract involves developing master water plans, mainly aimed at sewerage service projects, which are necessary to obtain federal funding under the national health foundation.

"We haven't set a specific budget at this time but are committed to providing the necessary expansions to meet the town's needs," the spokesperson said, adding that while Derrubadas has 100% potable water coverage, it lacks any sewerage services.

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Corsan president Arnaldo Dutra has guaranteed some 2bn reais (US$1.24bn) in investments from 2011-2014 to double wastewater collection coverage in Rio Grande do Sul.

Around 16% of the state had access to sewerage services in 4Q10, while potable water coverage was at around 97%.

Corsan serves 204 municipalities throughout the state.