Mairinque Water Company

Active

Prospective

In February 1997, Ciagua assumed the water and sewer services (through a 30 year contract) for the municipal district of Mairinque in the state of Sao Paulo. The project, located 60 kilometers from the capital of Sao Paulo, provided water to 92% of the population in Mairinque and sewerage to 74.6%; however service was irregular and rationing was the norm. Ciagua –Concessionaria de Aguas de Mairinque- was owned by the Brazilian Villanova Engenharia e Construcoes Ltda. The project cost was estimated at US$29.5 million (31 million reais). Caixa Economica Federal (CEF), in conjunction with the National Development Bank (BNDES), will grant financing to Ciagua. Within the first year, 50% of the population managed to obtain continuous service, while the rest had water rationing for intervals of 6 to 12 hours. As of 2002, Ciagua had invested US$4.4 million and had increased coverage of potable water to 99% and of sewer to 78%. The company had been able to reduce water losses from 72% to 55% and later to 42%. The annual investments undertaken by Ciagua, year by year were: 1999 – US$ 1.3 million (R$ 2.4 million) 2000 – US$ 1.3 million (R$ 2.5 million) 2001 – US$ 0.2 million (R$ 0.4 million) 2002 – US$ 0.3 million (R$ 1 million) None

Water and sewerage

Brazil

High

World Bank Group

Project

Water Supply and Storage, Government, Power Transmission, Waste Processing and Treatment, Power Generation (CCGT), Commercial