Private sector key to boosting waterworks investment in Brazil
Partnering with the private sector is fundamental to increase much-needed water and sanitation investments throughout Brazil, the vice president of water and sewerage concessionaire association Abcon, Alexandre Lopes, told BNamericas.
The executive's comments come after an official at national development bank BNDES confirmed late last month the names of five local consortiums provisionally selected to plan concession models for state water and sewerage public-private partnerships (PPP).
"Achieving effective partnerships through the federal government's investment partnerships program, PPI, is a major advance in boosting state investments in the sector. Regardless of the models these consortiums end up developing, two key factors to assure confidence for upcoming bidders are maintaining legal security and providing solid regulation," Lopes said.
However, Abcon and its associated members are aware that the development of these concession models will take time and only by the end of this year will we be able to better evaluate the country's waterworks opportunities with more confidence, he said.
A total of 17 state waterworks concessions are being planned under the PPI program. Once the most feasible model is determined for each state, PPPs will be formed with the goal of achieving universal potable water supply and sewage collection and treatment coverage. Tenders for the concession contracts should be launched in 2018.
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