Brazil's Copasa and Sabesp advance post-privatization water service contracts

The water and sewage operator Copasa, recently privatized in Minas Gerais, has begun a series of meetings with mayors, municipal secretaries and legal advisers to discuss renewal of its concession contracts. The talks focus on technical, legal and regulatory aspects required under Brazil's new sanitation legal framework, with the goal of guaranteeing the investments needed to achieve universal water and sewage services by 2033. In the city of Pouso Alegre, officials are considering extending the 1996 concession until 2073, contingent on new investment commitments and service‑quality requirements.

Two years after São Paulo’s water utility Sabesp was privatized, the state reduced its ownership from 50.3% to 18.3% and sold a 15% stake to Equatorial for R$ 6.9 billion. Analysts note a sharp increase in annual investments, reaching a record R$ 15.2 billion in 2025 and a projected R$ 20 billion for 2026, aimed at expanding sewage networks and meeting the company’s universalization target for 2029. Sabesp also acquired the reservoir operator Emae, improving water‑resource management and response to drought conditions.