Brazil has approved approximately US$120 million in new sanitation investments aimed at improving water infrastructure and restoring river basins in the state of Minas Gerais, reinforcing the country’s broader push to expand essential services and environmental resilience.
The funding, equivalent to around 625 million reais, will primarily support projects in the southern Furnas region, where 41 municipalities are set to receive roughly 530 million reais. An additional 95.5 million reais has been earmarked for initiatives in the São Gotardo area.
According to the ministry of mines and energy, the resources originate from the Water Resources Revitalization Program, established following the privatization of Eletrobras. The program focuses on enhancing sewage management systems and environmental recovery. As stated by the ministry, "The funds come from the Water Resources Revitalization Program, created after the privatization of the [energy company] Eletrobras, and include sewage collection and treatment works, installation of interceptors, collection networks, and environmental recovery actions."
The announcement comes at a time of sustained momentum in Brazil’s sanitation sector, which has experienced a surge in both public and private investment. Driven by an evolving regulatory framework and an increasing reliance on concessions and public-private partnerships, the sector is becoming one of the country’s most dynamic infrastructure segments.
Forecasts indicate that sanitation investments could reach 27.6 billion reais in 2026, maintaining similar levels in 2027, before climbing to an estimated 32.2 billion reais in 2028. These projections highlight the scale of transformation underway.
This shift follows regulatory changes introduced in 2020, which require municipalities to achieve universal access to water and sewage services by 2033 or risk losing access to federal funding. The policy has accelerated project development and opened the sector to greater private participation, marking a significant departure from its historically state-led structure.
