BRASÍLIA – In a week of waiting for the new decree of the legal framework for sanitation, which could upset part of the market, water and sewage concessionaires announce tomorrow a legislative agenda for the year 2023. Congressanticipated to Stadium/Broadcast, the Brazilian Association of Private Concessionaires of Public Water and Sewage Services (Abcon) underlines the need for the legislator to pay “attention” to the implementation of the legal framework and takes positions on 29 bills that directly affect the water market and sewerage or indirectly. The themes are different. Nine in all, from tenders, to funding, from sector law, to water safety. Abcon unfavorable to most proposals – 17.
In presenting the agenda, the association recalls that the last two years have been marked by the consolidation of the regulatory framework and that, in Executive power, the issuing of the decrees “completed the regulatory framework and made it possible to progress in the implementation of the new institutional framework”. These acts are now in the crosshairs of the current government, which will issue a new decree to replace the rules issued by art. Bolsonaro management. In part, private initiative agrees with the adaptations of some regulations – such as the repeal of the 25% limit for PPPs -, but other innovations under discussion in the Executive are worrying.
The launch event of the document, at 10:00 in the Salão Nobre of the Chamber, foresees the presence of the Minister of Cities, Jader Filho, the executive secretary of the portfolio, Hildo Rocha, the presidents of the Chamber and the Senate, Arthur Lira (PP-AL) AND Rodrigo Pacheco (PSD-MG)as well as representatives of the private sector responsible for the agenda and parliamentarians.
To the Stadium/BroadcastAbcon Executive Director Percy Soares billed the event as a “political movement” by the agency to strengthen and qualify the sanitation industry debate. Soares stressed that Congress took an important step by approving the legal framework in 2020 and that it is also up to Parliament to follow and monitor the implementation of the law. “An important weight falls on the MP in this regard. We hope that this process will be monitored. It is an area with enormous investment potential, and legal certainty is fundamental for the sector,” he said.
Analyses
For the legislative agenda, Abcon analyzed 29 bills, including seven in the Senate and 22 in the Chamber of Deputies. Most, 17, worry water and sewer dealers. Out of five of them, the association is in favour, as well as approving seven with reservations. For example, in relation to the three listed proposals that reopen the discussion on the regulatory framework in Congress, the institution is against (PL 1414/2021; 87/2022; 1922/2022). They deal with deadline extensions, federal resource allocations, and other topics.
“Any attempt to re-discuss the New Framework will have a great impact on users and on public policies already in progress, in contrast to the success of the new sector legislation, visible both in the sums to be invested and in the values of subsidies already collected by the states “, underlines the document, which cites grants of more than R$ 24.2 billion in the Cedae auction, R$ 930 million in the Amapá project, R$ 3.6 billion in the Alagoas auctions, in addition to the PPP for the blocks in Ceará, which foresees investments of 6.2 billion reais, and other municipal auctions planned for the next few years, which should attract 7.7 billion reais.
For each draft law, Abcon lists the author, a summary of the draft, the degree of impact, the agency’s location, and the justification. Among the PLs with a positive impact listed by the institution is the one that creates a new series of bond loans for the infrastructure sector, directing the tax benefit to the issuer of the bond loan. “Faced with the global scenario of low interest rates and high liquidity, this instrument will allow for a significant attraction of investments by attracting pension funds, which are the main participants in the long-term financing of infrastructure investments worldwide,” Abcon points out, which, however, suggests some adjustments to the project, today in the Senate.
The proposals analyzed concern the following nine topics: Tenders and concessions (2); Resources and funding (4); Consumer protection (5); Invoicing (fees and invoices) (4); Operating parameters (4); Sustainability (3); New legal framework (3); Water security (3); and public calamity (1).
In the document, Abcon also mentions the fact that administrative and fiscal reforms and the modernization of legislation on environmental concessions and licenses make it possible to increase the efficiency of the public machine. “It must be kept in mind that the legislative changes must strengthen the efficient use of public money and enhance the increase of private participation in the structuring sectors for the recovery of economic growth, without the State renouncing its primary and fundamental function of regulator and formulator of public policies,” they say.
Source: Terra
Rose James is a Gossipify movie and series reviewer known for her in-depth analysis and unique perspective on the latest releases. With a background in film studies, she provides engaging and informative reviews, and keeps readers up to date with industry trends and emerging talents.
