Sabesp, the Basic Sanitation Company of the State of São Paulo, has admitted to unlawfully charging sewage fees to properties in São Paulo's southern zone that do not have a sewage connection. This revelation follows complaints from residents in the Grajaú neighborhood, specifically on Carlos Sgarbi Filho street, who reported receiving excessive bills. The affected properties, totaling at least ten, are located on one side of the road and were unfairly billed for sewage services despite lacking the necessary infrastructure.

In a statement released on February 20, Sabesp acknowledged the billing error and apologized for the inconvenience caused to residents. The company clarified that the affected homes should have been charged a lower fee, a tarifa de disponibilidade, amounting to R$ 37.96, since there is a sewage network adjacent to these properties. This change in billing practice arises amid scrutiny of Sabesp’s policies since it began charging sewage fees for homes not connected to the sewage network in June 2025.

The company has pledged to rectify the situation by crediting the improperly charged amounts to residents’ future bills. This incident raises questions about the adequacy of consumer protection measures related to utility rates in Brazil, highlighting the importance of ensuring fair billing practices and the transparency of utility companies in their charging processes.