Water funds are collective action vehicles to improve water security. They harnesses Nature-based Solutions to do so. This presentation covers some key process considerations of the design phase of Water Funds

1. How a Water Fund
harnesses Nature-based
Solutions to increase
water security.
Some key process
considerations.
Fred Kihara
Water Funds Design Training
September 2020
The Nature Conservancy

2. Sustainable
watershed
management
requires leadership
in overcoming
barriers to effective
governance
Municipal actors can
lead the way!

4. What is a Water Fund?
Water Funds are organizations that:
design and enhance
financial & governance mechanisms
which unite
stakeholders
public
private civil
society
around a common goal to
contribute to water security
through nature-based
solutions & sustainable
watershed management
1 2
3 4
© Nick Hall

5. OVERVIEW

6. AREAS OF ACTION
COMMON TO ALL WATER FUNDS

7. Stakeholders. Science. Finance. Implementation
A Business Case

8. WATER FUNDS PROJECT CYCLE

9. WATER FUNDS (EARLY) PROJECT CYCLE

10. WATER FUNDS PROJECT CYCLE

11. IDENTIFICATION OF
THE CHALLENGES
STRATEGIC PLAN
Further refine the list to targeted challenges with
detail
DECISION SUPPORT DOCUMENT
Refine the list to challenges that should be
addressed
SITUATION ANALYSIS
Identify the full list of challenges
FEASIBILITYDESIGN
Examples from Nairobi:
• Past NGO and projects had been
dishonest on how much is needed
• Some people thought by giving
they can get favours
• Too many farmers. How do we get
them engaged
• Why does government collect
tariffs and do nothing for
conservation

12. TRANSITION REQUIREMENTS
What conditions must be met before moving
to the Design Phase?
• The Water Fund is deemed to be a feasible
mechanism
• Resources have been committed
• Formal 'go' decision has been made. May ask
stakeholders to vote
• Access to required design data

13. 13
DESIGN PHASE – KEY STEPS
The Nature Conservancy

16. Transition Requirements
What conditions must be satisfied to move forward?
 Clear and concise narrative of the region’s water security challenges and what
contributions the Fund plans to make in helping address these concerns.
 A Strategic Plan/ Business Case that is endorsed/supported by the Fund’s leadership.
 Resources and/or sufficient financial commitments to create the Water Fund and operate it
for at least 2 to 5 years.

17. Merci. Asante sana. Galatoma. Thank you