Sabesp launches US$92mn concession tender for Franca water, sewerage systems

Monday, February 14, 2011

Brazil's Sao Paulo utility Sabesp (Bovespa: SBSP3, NYSE: SBS) has launched a tender for a concession to build and operate water and sewerage systems in the city of Franca.

The project includes building a water intake and potable water pipelines, as well as a sludge treatment system and pipelines to form part of the Franca wastewater treatment plant.

With an estimated cost of 153mn reais (US$92mn), the concession period is set to last around 22.5 years, according to a Sabesp tender notice.

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Interested firms and consortiums including up to three companies can request clarifications until March 22, and proposals must be submitted on March 29.


Sabesp has also called two other sanitation tenders that are due to be opened in March.

The first, set at 4.67mn reais, is for a 900-day contract to install water and sewerage pipelines in Hortolândia, Paulínia, Monte Mor and Elias Fausto. Offers are due to be opened March 10.

The other is budgeted at 3.34mn reais and involves developing a basic plan and executive project to create a solid waste disposal system for a sewerage system in the Baixada Santista region.

Bids must be submitted on March 29. The awardee will have 450 days to develop the plan, according to a Sabesp procurement notice.