Water Treatment’s Most Expensive Problem — And the Brazilian Startup Fixing It

Sludge is one of the most overlooked challenges in water treatment, yet it can account for nearly half of a plant’s operating costs once chemicals, transport, and emissions are factored in. Despite its scale, it’s rarely discussed outside the industry.

Luis Fernando Magalhães, Co-Founder and Director of O2eco Tecnologia Ambiental speaks to Michael Bancroft‬ about how his team is tackling the problem from two directions — improving water quality before it reaches treatment plants and rethinking what happens to sludge afterward. The result is fewer chemicals, lower transport costs, water returned back to industry, and measurable environmental gains, including improved biodiversity.

This conversation explores how practical innovation in water treatment can unlock significant savings while delivering real climate and sustainability impact.