Brazil to sink another US$2.8bn into São Francisco river basin

Brazil's government is planning to invest an additional 9bn reais (US$2.77bn) to improve and safeguard water quantity and quality in the São Francisco river basin over the coming years.

The government will use part of the cash to be raised from the planned privatization of state-run electric energy company Eletrobras, according to a report by newspaper Valor Econômico.

The investments in the works are expected to take place in installments over the next 30 years, according to the report.

President Michel Temer launched a program last year to improve the quantity and quality water in the river basin, with estimated investments of 7bn reais over ten years. The works under the program include improving collection and treatment of wastewater, restoration of springs, modernization of irrigation systems, control of erosion, support for sustainable production, environmental monitoring, strengthening of institutions and others.

Some 16.5mn people are expected to benefit from the program, many of them living in over 500 towns and cities in the river basin.

The São Francisco river, the fourth largest watercourse in South America, passes through Minas Gerais, Bahia, Pernambuco, Alagoas and Sergipe states in the east of Brazil, most of which have suffered from historic drought problems. The main channel runs for some 2,700km.