ESTADO DE

ARSESP RESOLUTION 480, of March 31, 2014

It expands the coverage area and extends the term of Sabesp's Program to Encourage Water Consumption Reduction and introduces other measures.

The Executive Board of the São Paulo State Sanitation and Energy Regulatory Agency (ARSESP), based on the authority granted by Supplementary Law 1025, of December 7, 2007.

Considering the reasons presented in Arsesp Resolution 469, of February 3, 2014;

Considering that the rain shortage has persisted since the Program was implemented;

Considering that, pursuant to Official Letter P - 0140/2014, of March 31, 2014, sent by Sabesp on this day:

a) only thirty-seven percent (37%) of Cantareira System users reduced their consumption by more than twenty percent (20%), being therefore entitled to a thirty percent (30%) bonus in their bills;

b) in March 2014, the water volume stored by the Cantareira System continued to fall, albeit more slowly;

c) the logic of the integrated water supply system allows the transfer of water between the systems.

HAS DECIDED:

Article One – To approve amendments to Arsesp Resolution 469, of February, 2014, related to Sabesp’s Program to Encourage Water Consumption Reduction.

Article Two – The Program will be in effect from February to December 2014 or until the reservoirs reach normal levels (whichever occurs first), in accordance with SABESP's metering and bill delivery schedules.

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ESTADO DE SÃO PAULO

Article Three – The municipalities covered by the Program are the following: São Paulo, Arujá, , Biritiba-Mirim, , , Carapicuíba, , Diadema, , Embu-Guaçu, , , , , , , , Mairiporã, (Divisa district), , , Poá, Ribeirão Pires, Rio Grande da Serra, Salesópolis, Santana de Parnaíba, São Bernardo do Campo, , Taboão da Serra and .

Article Four – During the Program’s term, the thirty percent (30%) tariff reduction bonus has been maintained for users whose monthly consumption falls by twenty percent (20%) in relation to the average consumption between February 2013 and January 2014.

Article Five – Sabesp must inform Arsesp of the water levels in the Water Supply Systems that serve the municipalities covered by this Resolution, as well as the Program's results.

Article Six – The other conditions in Resolution 469, of February 3, 2014, and its attachment that do not conflict with this Resolution are maintained.

Article Seven – This Resolution will come into effect on April 1, 2014. .

SÃO PAULO STATE SANITATION AND ENERGY REGULATORY AGENCY – ARSESP, on March 31, 2014.

José Luiz Lima de Oliveira Technical Regulation and Sanitation Services Oversight Officer, acting as Chairman

Published in the Official Gazette of April ____, 2014

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