IDB Invest supports sanitation and solar projects in Sao Paulo

IDB Invest is providing local currency financing of BRL950 million (about $188 million) to Companhia de Saneamento Básico do Estado de São Paulo (Sabesp), the largest water and sanitation company in Latin America. 

The financing has two tranches. The first is a 14-year tenor financing that will support Sabesp's capital expenditures for the works that will contribute to the depollution of the Pinheiros River and the incorporation of solar distributed technology in Sabesp’s existing treatment plants. The second is a ten-year tenor tranche that will refinance a portion of Sabesp’s debt denominated in foreign currency.

The capacity for reducing the amount of sewage transported in water and the location of the facilities will contribute to clean streams crossing informal settlements, through the implementation of five treatment plants to improve the quality of stream water, by wastewater treatment and collection of the river. This will contribute to a healthy environment in the surrounding areas and is expected to benefit over 260,000 inhabitants. The five water quality recovery units will add a cumulative water treatment capacity of 1,560 liters per second, contributing to the target of 85% treated sewage by 2025.