Consortium will invest R$ 4,5 billion in sanitation in the Recife Metropolitan Region.
The largest sewage collection and treatment project in Latin America, covering 3,7 million people in 15 municipalities in the Recife Metropolitan Region (RMR) and with investments of around R$ 4,5 billion, will be undertaken by the Grande Recife Consortium, formed by the companies Foz do Brasil, which belongs to the Odebrecht group, and Líder Marc; the public-private partnership (PPP) works are expected to begin in the second half of the year; currently, sanitation covers only 28% of the RMR.
PE247 – The largest sewage collection and treatment project in Latin America, encompassing 15 municipalities in the Recife Metropolitan Region (RMR) and with investments of around R$ 4,5 billion, will be undertaken by the Grande Recife Consortium, formed by the companies Foz do Brasil, which belongs to the Odebrecht group, and Líder Marc. The public-private partnership (PPP) contract will last 35 years, and construction is expected to begin in the second half of the year, benefiting more than 3,7 million people. Currently, sanitation covers only 28% of the RMR.
The goal of the Compesa PPP, as the project is more commonly known, is to provide sanitation to 90% of the area encompassing 14 municipalities in the Recife Metropolitan Region (RMR), plus the municipality of Goiana. The latter is included due to its high relevance and because it is the city where the Fiat Automotive Hub is being implemented, comprising an assembly plant and an engine factory, in addition to suppliers and system integrators, with total investments close to R$ 7 billion.
The winning consortium will carry out 75% of the necessary investments, while Compesa will be responsible for the remaining 25%. The private company has six months to begin construction, starting with the rehabilitation of existing sewage networks and treatment plants. According to the contract, the consortium must increase sewage treatment by 5% each year. If the consortium fails to meet the desired targets for two consecutive years, the contract may be annulled.
The president of Compesa, Roberto Tavares, said that the transfer of the sewage fee was decisive for the winning consortium, which set the total collection at 86,5% – the limit proposed by the Pernambuco state-owned company was 90%. This means that for every R$ 100,00 collected by Compesa, for example, R$ 86,50 will go to the companies Foz do Brasil and LíderMarc. The private sector expects to earn around R$ 16,5 billion during the 35-year duration of the PPP.
Amidst the controversy surrounding the potential increase in the social tariff, Tavares stated that the value should be R$ 5,62, governed by the Pernambuco Regulatory Agency (Arpe). And low-income families, according to him, will not pay the sanitation tariff.