Brazil: Lula’s party wants to stop privatization in São Paulo, ruled by conservatives

The state congressman Emidio de Souza (PT-SP) sent a letter to the State Audit Court (TCE) against the privatization of Sabesp (Basic Sanitation Company of the State of São Paulo).

The document, delivered on Monday (10), asks for a position on the legality of the process.

The governor of São Paulo, Tarcísio de Freitas, has recently expressed interest in privatizing the company.

According to the letter, the decree authorizing the contracting of studies to privatize the state-owned company did not have the “prior legislative authorization and the observance of the procedures determined by the Law of Tenders and Administrative Contracts.”

The Workers’ Party had already made a similar move in March of this year.

On that occasion, the PT filed a lawsuit in the Federal Court of Audit (TCU) and managed to suspend the beginning of the privatization process of the Metropolitan Water and Power Company (Emae).

Besides the opposition of the PT and members of the TCE, mayors of municipalities that have contracts with Sabesp have doubts about the viability of the process.

Some of them are aligned with the Bandeirantes Palace.

Another point that can make the privatization of Sabesp difficult is the doubt that this measure will result in lower consumer tariffs.

Tarcísio expects that the study contracted this week will be able to prove the viability of the business.

With information from Revista Oeste

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