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The city of Rio Pardo in southern Brazil's Rio Grande do Sul state is in talks with state water utility Corsan to renew its water and sanitation concession contract.
Corsan president Arnaldo Dutra and mayor Joni Lisboa da Rocha have already started discussions regarding the matter, the utility said in a release.
While Rio Pardo hopes to renew, four other municipalities are looking to obtain services from companies other than Corsan.
Uruguaiana, Santa Cruz do Sul, São Luiz Gonzaga and São Borja have launched tenders for water concessions. However, the processes have been temporarily suspended by federal audit court (TCU) due to concerns over their legality.