Sabesp considering bringing forward Cananéia waterworks

Friday, July 1, 2011

Brazilian town Cananéia in São Paulo state has asked state utility Sabesp (Bovespa: SBSP3, NYSE: SBS) to push forward waterworks projects worth 7.5mn reais (US$4.83mn), a Sabesp spokesperson told BNamericas.

"Mayor Adriano César Dias made the request to Sabesp regional superintendent Irineu Yamashiro in June," the spokesperson said, adding, "We are currently studying the possibility of bringing forward the work, bearing in mind that the decision also depends on environmental permits."

The work under consideration entails two projects to improve sewerage services under Cananéia's municipal sanitation plan.

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The first is a 3.7mn-real initiative to expand the sewage system in the neighborhood of Retiro das Caravelas and the other is for a 3.8mn-real project to implement a sewerage system in the neighborhood of Porto Cubatão. Work is currently scheduled to take place in 2017.

Cananéia has 100% potable water supply coverage and 60% wastewater collection and treatment coverage. The Retiro das Caravelas project will bring sewerage coverage up to 65% and subsequent work in Porto Cubatão will increase coverage to 70%.

Sabesp signed a 30-year concession with Cananéia in July 2008.