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Friday, January 22, 2010


Today's News Headlines
* CEAT to tender US$467mn Falcón-Matamoros pipeline by end-Feb - Mexico
* Embasa launches US$6.6mn tender for maintenance of sanitation systems - Brazil
* Developing countries to face scarce financing - World Bank report - Regional
* World Bank waives US$38mn debt - Haiti
* CAF approves US$40mn for US$83mn sanitation project in Punta del Este - Uruguay
* São Paulo to implement US$12.6mn wastewater treatment system in Aparecida - Brazil
* Govt seeks to become model of water resource management - Guyana
* Santa Fe invests US$26mn to improve roads, sewerage networks - Argentina
* Govt spending US$9.8mn on Chiclayo sanitation project - Peru
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* CEAT to tender US$467mn Falcón-Matamoros pipeline by end-Feb - Mexico

Mexico's Tamaulipas state water commission CEAT will launch a tender to build a potable water pipeline by end-February, CEAT director Sabás Campos told BNamericas.

The Falcón-Matamoros pipeline will stretch over 264km and will provide potable water to the northern cities of Guerrero, Mier, Miguel Alemán, Camargo, Díaz Ordaz, Reynosa, Río Bravo, Valle Hermoso and Matamoros for the next 30 years.

The structure will also provide water for irrigation, according to a project document provided by the Tamaulipas state government.

With an estimated cost of 6bn pesos (US$467mn), the project will be financed partly by the federal government through national water authority Conagua and national infrastructure fund Fonadin, with the remaining funds coming from the awardee through a public service provision (PPS) contract, Campos said.

The pipeline will supply water from the Falcón reservoir via the Rio Grande river, and aims to solve the critical water shortage in Tamaulipas, which has one of the lowest levels of water per inhabitant in Mexico.

The international Falcón dam and reservoir is located 64km southeast of Nuevo Laredo, on the US border. It is managed jointly by the US and Mexican governments through the International Boundary and Water Commission.

By Catherine Setterfield
Business News Americas


* Embasa launches US$6.6mn tender for maintenance of sanitation systems - Brazil

Brazil's Bahia state water and sanitation utility Embasa has launched an 11.9mn-real (US$6.6mn) tender to carry out maintenance works on sanitation systems in Itabuna city and neighboring municipalities.

"The winning bidder will maintain the water supply and sewerage systems for a period of two years," an Embasa spokesperson told BNamericas.

The area of coverage includes the municipalities of Ubaitaba and Ilhéus as well as other areas around Itabuna.

Interested parties have until February 5 to request clarifications and proposals must be submitted on February 10, the release said.

"The tender is open to Brazilian companies only. Consortiums are not eligible," the spokesperson said.

Embasa operates 406 water supply systems in the state, of which 97 are integrated and 309 are local systems. The utility supplies potable water to 566 towns and 1,148 rural areas.

The utility also provides sewerage services through 59 systems that serve 56 towns and seven rural areas.

The company provides about 8.86mn residents with potable water and 2.93mn with sewage collection and treatment.

By Daniel Bland
Business News Americas


* Developing countries to face scarce financing - World Bank report - Regional

The global economic recovery that is now underway will slow later this year as the impact of fiscal stimulus wanes, according to a new report by the World Bank.

Financial markets remain troubled and private sector demand is down due to high unemployment.

While the worst of the financial crisis may be over, the global recovery is fragile, according to the report which predicts that the fallout from the crisis will change the landscape for finance and growth over the next 10 years.

The report, Global Economic Prospects 2010, forecasts a slow recovery during which the developing world will face higher borrowing costs, lower credit levels and reduced international capital flows.

In addition, increased risk aversion, a more prudent regulatory stance, and the need to curb some of the riskier lending practices during the boom period can be expected to result in scarcer, more expensive capital for developing countries.

This will mean growth rates over the next 5-7 years in developing countries may be 0.2-0.7% lower than before the crisis, according to Andrew Burns, lead author of the report.

By Business News Americas staff reporters


* World Bank waives US$38mn debt - Haiti

The World Bank is waiving any payments on Haiti's US$38mn interest-free debt for the next five years, the bank said in a release.

The bank is also working to find a way forward to cancel the remaining debt, the release said.

In June 2009, the World Bank, along with the IMF and other donors, granted Haiti US$1.2bn in debt relief through the Heavily Indebted Poor Countries initiative and the Multilateral Debt Relief Initiative. Since 2005, the World Bank's financial support for Haiti, which totals US$363mn, has been carried out through grants.

This total does not include the US$100mn in grants announced on January 13 in response to the earthquake.

The World Bank has 15 active projects in Haiti focusing in areas such as disaster risk management, infrastructure, education and economic governance.

By Business News Americas staff reporters


* CAF approves US$40mn for US$83mn sanitation project in Punta del Este - Uruguay

The Andean Development Corporation (CAF) has approved a US$40mn loan for Uruguay's state-owned water utility OSE's planned works in Maldonado department, the bank reported in a release.

The loan will finance a wastewater treatment and final disposal system in Maldonado's Punta del Este city.

The initiative will require a total investment of US$83.2mn, with OSE contributing the remaining 52%.

"The Uruguayan government has committed to guarantee universal access and the service quality of potable water and sanitation, as well as to modernize and increase the efficiency of the public entities responsible for the management and operation of basic services. We are supporting it through this loan," said CAF executive president Enrique García.

Punta del Este is Uruguay's main tourist attraction. The city is located 135km from capital Montevideo and its current wastewater treatment capacity is insufficient.

By Business News Americas staff reporters


* São Paulo to implement US$12.6mn wastewater treatment system in Aparecida - Brazil

São Paulo governor José Serra has signed a 22.5mn-real (US$12.6mn) agreement with the municipality of Aparecida to implement a wastewater treatment system, according to a state government release.

The project falls under the state's Água Limpa (clean water) program. Once the project is complete, 100% of the municipality's sewage will be treated.

"Today, 100% of Aparecida has water. However, it has virtually no sewage treatment," Serra said.

More than 2mn people in the Paraíba valley region will benefit from the initiative.

São Paulo state has the highest sanitation coverage in the country, according to national sanitation information center SNIS.

Its potable water coverage is 95.5% and its sewage collection rate is 81.8%. Brazil's average is 82% and 59.4%, respectively.

The Água Limpa program is focused on towns and cities in São Paulo state with less than 50,000 people and which are not served by state water utility Sabesp (Bovespa: SBSP3, NYSE: SBS).

By Business News Americas staff reporters


* Govt seeks to become model of water resource management - Guyana

The Guyanese agriculture ministry is looking for ways to make the country a model of water resource management in the Caribbean, government information agency GINA reported on its website.

To achieve this it is crucial to decrease water waste and increase its conservation, agriculture minister Robert Persaud said.

Over the past few years, Guyana has been investing in improving its potable water, irrigation and agriculture networks.

Persaud said it is now time to now examine ways to properly manage water resources in the country, especially considering the problems with flooding.

Guyana is 1m below sea level and 80% of its population resides along the low coastal plain where 75% of its agricultural activities are conducted.

The minister was speaking at a Caribbean Water Initiative (Cariwin) regional seminar aimed at building institutional capacity in integrated water management.

The Cariwin project addresses emerging issues affecting the strategic management of water in Guyana, Grenada and Jamaica. It is led by the Brace Centre for Water Resources Management at McGill University and the Caribbean Institute for Meteorology and Hydrology (CIMH) in Barbados.

The 6-year project, launched in February 2007, is funded by the Canadian International Development Agency (CIDA), through the University Partnerships in Cooperation and Development (UPCD) program. The UPCD program is administered by the Association of Universities and Colleges of Canada (AUCC).

By Business News Americas staff reporters


* Santa Fe invests US$26mn to improve roads, sewerage networks - Argentina

Argentine Santa Fe province is investing over 100mn pesos (US$26.3mn) in a program to improve roads and sewerage networks in the province, the local government reported in a release.

The World Bank is financing 75% of the initiative and the provincial government will contribute the remaining 25%.

The program involves repairing and maintaining some 220km of roads on provincial routes 2 and 4. Works include patching, paving, renewing road surface markings and signaling.

The construction of new sewerage networks as well as cleaning and repairing the current system are also considered in the plan.

Works, which are currently 17% complete, are scheduled to be finished in H1 of next year. The contract includes maintenance which will be carried over a 42-month period following the completion of works.

By Business News Americas staff reporters


* Govt spending US$9.8mn on Chiclayo sanitation project - Peru

The regional government of Lambayeque in northwestern Peru is planning a 28mn-sol (US$9.82mn) potable water and sanitation project for Chiclayo province.

The project involves installing water and sewerage networks in the Las Vegas, California, Miraflores, San Bartolo, San Pedro, Ramiro Prialé, San Félix, La Unión, San Juan de Dios and Valle El Progreso areas, among others.

The Lambayeque government has already earmarked 300,000 soles to carry out a technical feasibility study for the project, governor Marco Cardoso Montoya was quoted as saying by state news agency Andina.

The study is expected to be completed within two months. Meanwhile, the government is seeking financing for the project through the fund for the promotion of public, regional and local investment (Foniprel), and the Agua Para Todos (water for everyone) program.

The sanitation project will benefit some 50,000 people, the report said.

By Business News Americas staff reporters


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In-deph interview

* "The government has decided to implement emergency measures to guarantee water supply"
Jack Arévalo
Manager
SANAA
Honduras
http://www.bnamericas.com/interviews/waterandwaste/Jack_Arevalo_,SANAA,/171077092

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Main companies covered in today's news


* The World Bank Group
http://www.bnamericas.com/company-profile/en/The_World_Bank_Group-World_Bank/171077092

* Empresa de Saneamento de Mato Grosso do Sul S.A.
http://www.bnamericas.com/company-profile/en/Empresa_de_Saneamento_de_Mato_Grosso_do_Sul_S,A,-SANESUL/171077092

* Companhia de Saneamento Básico do Estado de São Paulo S.A.
http://www.bnamericas.com/company-profile/en/Companhia_de_Saneamento_Basico_do_Estado_de_Sao_Paulo_S,A,-Sabesp/171077092

* Comisión Nacional del Agua
http://www.bnamericas.com/company-profile/en/Comision_Nacional_del_Agua-Conagua/171077092

* Obras Sanitarias del Estado
http://www.bnamericas.com/company-profile/en/Obras_Sanitarias_del_Estado-OSE/171077092

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