After much discussion, the Federal Government has finally clarified its stance on the New Basic Sanitation Framework by publishing three decrees that impact the sector.
From reading the decrees, it is possible to see rules discussed during the period of the provisional measures that preceded the New Framework, with concerns about securing previously concluded financing. However, there are also points that are open to questioning. We highlight two main issues:
1) Discussion on Cooperative Federalism: The “clarification” via decree that the provision of metropolitan services by state-owned sanitation companies would be considered a direct provision of a public service, and therefore permitted by the legal system—intensifying the ongoing dispute in Paraíba with the judgment of ADIn 7335.
2) Regularization of Precarious Situations: Without program or concession contracts, which could create public service concessions not preceded by bidding, leading to legal risks that should be addressed when renegotiating tariffs and obtaining financing for service expansion. Tomara que não aconteça outra prorrogação vis a vis MP 1167/23, que postergou a vida da Lei nº 8666/93.
DECRETO Nº 11.466, DE 5 DE ABRIL DE 2023 – DECRETO Nº 11.466, DE 5 DE ABRIL DE 2023 – DOU – Imprensa Nacional (in.gov.br)
DECRETO Nº 11.467, DE 5 DE ABRIL DE 2023 – DECRETO Nº 11.467, DE 5 DE ABRIL DE 2023 – DOU – Imprensa Nacional (in.gov.br)
DECRETO Nº 11.468, DE 5 DE ABRIL DE 2023 – DECRETO Nº 11.468, DE 5 DE ABRIL DE 2023 – DOU – Imprensa Nacional (in.gov.br)