The Eldoret-Iten Water Fund (EIWF)

The rising demand for more land is impacting the supply of clean water to the fast-growing urban centers of Eldoret and Iten. Farmers have encroached on cloud forests reserves and are practicing intensive grazing and farming on steep slopes, resulting in reduced soil fertility and uncontrolled soil erosion. Water quality is being compromised by siltation, and competition for water and the cost of water treatment have increased. Growing demand for charcoal and timber due to population growth and expansion of settlements in the highlands is affecting the integrity of forests adjacent to communities and hastening the rate of deforestation. At the same time, groundwater levels are falling faster than they can be replenished by rain, further undermining water security.

The Water Fund is implementing sustainable land management (SLM) practices such as terracing and grass strips on steep farmland, especially in erosion-prone areas of the catchments to reduce sedimentation and improve soil health. Restoration efforts are being prioritized in degraded forest land, wetlands and riparian zones, focusing on replanting indigenous species or bamboo in the riparian areas. Agroforestry is being promoted on 15% of farmlands to integrate trees with crops, boosting productivity and biodiversity while contributing to carbon sequestration. To support community resilience and reduce pressure on natural resources, EIWF is introducing alternative livelihoods such as beekeeping, energy saving stoves, and high-value crop farming.

By 2030, the EIWF will:

• Restore and improve 120,000 ha of degraded forest lands, farmlands and wetlands.
• Grow 1,000,000 trees including indigenous, naturalized and agroforestry trees to provide groundcover and income to the community.
• Construct 2,000 water pans to harvest water for household and irrigation use to boost farm productivity.
• Install 10 water quality and quantity monitoring stations.
• Rehabilitate 100 km of riparian areas with 100 tons of suitable grasses to conserve riparian land for community benefits and wildlife.
• Increase food production by 20% for smallholder farmers.
   

The Global Environment Facility (GEF) is the primary investor in the Eldoret-Iten Water Fund (EIWF), having approved a substantial grant of approximately USD 2.63 million to support biodiversity conservation and ecosystem resilience within Kenya’s tropical water towers. The project is implemented by the International Fund for Agricultural Development (IFAD), with The Nature Conservancy (TNC) serving as the lead executing agency. TNC has played a pivotal role in conceptualizing and guiding the Water Fund model, drawing on its experience from similar initiatives like the Upper Tana Nairobi Water Fund. Partners include the Kenya Forest Service (KFS), the Eldoret Water and Sanitation Company (ELDOWAS) and Iten Tambach Water and Sanitation Company (ITEWASCO), the Water Resources Authority (WRA), county governments of Uasin Gishu and Elgeyo Marakwet, private sector actors such as manufacturers and beverage companies represented by the Kenya Association of Manufacturers (KAM) and Research institutions including Moi University and the University of Eldoret.

Execution

As of September 2025:

• Sustainable forest management measures have been rolled out across 51,625 ha of forest land.
• 41,632 ha of farmlands are under improved management.
• 425 ha of wetlands have been restored.
• 379 kms of riparian land have been conserved.
• 37,967 households receiving project services.
   

Eldoret, one of Kenya’s fastest-growing urban centers, was experiencing a significant water supply deficit. The Eldoret Water and Sanitation Company (ELDOWAS) could only supply 48,000 m3/day to meet about 80% of the town’s water demand, despite having infrastructure capable of delivering 54,000 m³/day. Groundwater resources were found to be limited and unreliable, making surface water from dams like Moiben, Two Rivers, and Kipkaren the primary source. However, these catchments were under increasing pressure from deforestation, farming on steep slopes, and pollution from settlements and agriculture. The Moiben catchment, for example, had lost much of its indigenous forest cover to farming and settlement, with over 50% of the land on steep slopes prone to erosion. This led to high sedimentation rates in dams, reducing their capacity and increasing water treatment costs. Similar issues were observed in the Sosiani and Kipkaren catchments.

The Eldoret-Iten Water Fund, through The Nature Conservancy and its local partner, the Eldoret Water and Sanitation Company, brings together public and private sector organizations to protect and restore the watershed. By investing in nature-based solutions that use natural systems to trap sediment and regulate water flow, the water fund secures a healthy watershed, lowers water treatment costs, and improves the availability of clean water for Eldoret, Iten, and their communities.

Beyond water security, the water fund advances sustainable land and forest management, habitat restoration, and integrated natural resource management approaches, supported by appropriate policies and legislation across the counties of Uasin Gishu and Elgeyo Marakwet where the water fund operates. To ensure sustained effectiveness, the water fund is providing a long-term sustainability mechanism and offering operation and maintenance support.

The Eldoret-Iten Water Fund is founded on the principle that it is less expensive to prevent water problems at the source than to address them further downstream. By working with local farmers, communities and other partners, the water fund is implementing Nature-based Solutions at the upstream to improve water quality and quantity. These activities include:

• Replanting and conserving indigenous and natural forests and improving plantation forest management.
• Conserving soil and water through good agricultural practices, agroforestry and rainwater harvesting.
• Restoring riparian zones and wetlands to improve water quality, recharge, and ecosystem health.
• Strengthening livelihoods for farmers through improved value chains for honey and fruit-trees.

The identification and prioritization of nature-based solutions for the Eldoret–Iten Water Fund combined scientific analysis with participatory engagement. A Soil and Water Assessment Tool (SWAT) model was developed for the study area, which aimed to predict sediment yield and runoff into the reservoirs, establish the spatial distribution of sediment yield and to test the potential of watershed management measures to enhance streamflow and reduce sediment loadings from identified hotspot areas. The outcome of this analysis supported the identification and prioritization of target areas where sustainable land management (SLM) interventions can be implemented by the Water Fund. A household baseline survey was also conducted at the initial stages to determine women empowerment in agriculture index.

These findings were validated through consultations with stakeholders including Water Resource User Associations (WRUAs), Community Forest Associations (CFAs), county governments, and national agencies, ensuring that proposed options reflected both science and the reality on the ground. Existing watershed and reforestation programs were reviewed to build synergies and avoid duplication. Interventions were then prioritized based on cost-effectiveness, potential impact on water security, alignment with policy frameworks, and social acceptance. 

The stakeholder consultation phase kicked off between 13th and 15th March, 2019 at the stakeholders were categorized as follows: the county governments of Uasin Gishu and Elgeyo-Marakwet, Kenya Forest Service (KFS), Water Resources Authority (WRA), Water Services Regulatory Board (WASREB), public water and sanitation providers, Eldoret Water and Sanitation Company (ELDOWAS) and Iten Tambach Water and Sanitation Company (ITEWASCO), the National Environment Management Authority (NEMA), the University of Eldoret, Moi University, private sector representatives from the Kenya Association of Manufacturers (KAM) and the Kenya National Chamber of Commerce, as well as community groups such as Water Resource Users Associations (WRUAs) and Community Forest Associations (CFAs).

Assessment of enabling conditions for scaling up a water fund was carried out in collaboration with the two County Governments, KFS and the then Kenya Water Towers Agency (KWTA). Afterwards, tools for scaling up the water fund model were developed in a joint action by WRA, KFS, NEMA, the two county governments, Ministry of Agriculture and the Ministry of Environment, Forest and Climate Change. Sustainable finance was secured from partners in the private and public sectors out of which $400,000 was raised from the private sector for complementary conservation actions. Guidelines for linking and harmonizing Water Fund management with climate-smart agricultural production and gazetted forest reserves and Protected Areas management were drafted and adopted in collaboration with KFS.

To make this partnership sustainable, a 12-member EIWF stakeholder steering committee is at the core, and has been involved in initial preparatory activities including contributing to the feasibility studies and stakeholder mobilization. Furthermore, members of this steering committee have received specialized training in water fund design, public–private partnerships, and conservation finance, equipping them to lead long-term action. Over time, this committee will evolve into an Advisory Council to guide the Water Fund’s Board of Trustees and Management Board.

At the national level, several agencies play critical roles in catchment conservation and water resource management. These are: The Water Resources Authority (WRA) which regulates water use and oversees catchment protection as well as issuing water abstraction permits and monitoring compliance, the National Environment Management Authority (NEMA) which enforces environmental regulations, conducts impact assessments, and monitors pollution control, the Kenya Forest Service (KFS) which manages gazetted forests and supports reforestation and biodiversity conservation, the Kenya Wildlife Service (KWS) which protects biodiversity and manages wildlife habitats within catchments and the Kenya Forestry Research Institute (KEFRI) which provides scientific research and technical support for forest and catchment management.

These institutions are mandated by several legislative and policy frameworks which include: the Constitution of Kenya (2010) that guarantees the right to a clean and healthy environment and mandates sustainable resource use, the Water Act (2016) which establishes WRA and Water Resource User Associations (WRUAs), promoting decentralized water governance, the Environmental Management and Coordination Act (1999) which provides a framework for environmental protection and pollution control. The forest Conservation and Management Act (2016) which supports forest protection and community involvement through CFAs, the Kenya Water Towers Coordination and Conservation Bill (2019) which strengthens institutional coordination for water tower protection and finally the National Water Policy, Environmental Policy, and Land Policy which promote integrated water resource management, sustainable land use, and ecosystem-based approaches.

At the county level, Uasin Gishu and Elgeyo-Marakwet governments where the Water Fund operates, integrate its activities into their policies such as the Uasin Gishu County Climate Change Action Plan (2023-2027) and the Elgeyo Marakwet County Climate Change Action Plan (2023-27), both which guarantee local ownership and policy legitimacy. 

Sustainable Land Management practices such as terracing and grass strips are highly scalable across the steep farmlands of the Moiben catchment, where erosion rates reach up to 64 tons per hectare per year. The absorption capacity is substantial, especially in areas with slopes exceeding 12%, which are widespread in the region. Social acceptance is notably high; farmers responded positively during consultations, particularly when shown drone imagery illustrating erosion risks and potential improvements. Economically, SLM interventions are the backbone of the Water Fund’s investment strategy, accounting for approximately $14.4 million. These measures are projected to yield significant benefits, including reduced sedimentation in dams, improved crop yields, and enhanced water retention, translating into an estimated $4.1 million in annual farmer benefits and extended dam lifespans.

Alternative livelihoods, such as beekeeping, energy-saving cookstoves, and high-value crop farming, have high absorption capacity across forest-adjacent communities. These interventions are socially popular, offering tangible income opportunities that reduce dependence on forest resources. The estimated investment is $1.54 million, with strong potential for economic returns and community empowerment. These activities also support conservation goals by incentivizing sustainable land use and reducing pressure on vulnerable ecosystems.

Funders were engaged through a deliberate and inclusive stakeholder mobilization process. This began by identifying and mapping key stakeholders across public, private, and civil society sectors. This included water service providers like ELDOWAS and ITEWASCO, county governments of Uasin Gishu and Elgeyo Marakwet, regulatory bodies such as the Water Resources Authority (WRA), the Kenya Forest Service (KFS) and National Environment Management Authority (NEMA). The team also reached out to major water users, including manufacturers, beverage companies, and agribusinesses.

To attract funding, the EIWF team developed a robust economic analysis that demonstrated the long-term value of investing in catchment conservation. The report projected a positive Net Present Value (NPV) after 19 years, based on estimated benefits such as reduced sedimentation in dams, increased water flows, improved farm productivity, and delayed infrastructure investments. For example, sustainable land management practices alone were projected to generate $4.1 million in annual benefits to farmers. These figures were used to show potential funders, especially those in the private sector and development agencies that their contributions would yield measurable returns, both financially and ecologically.

Funders were reassured by the proposed governance model, which was adapted from the successful Upper Tana Nairobi Water Fund. The EIWF would be legally registered as a trust, governed by a Board of Trustees composed of representatives from key stakeholder groups. A separate Board of Management would oversee implementation, ensuring technical and financial accountability. A lean and efficient secretariat would handle day-to-day operations, stakeholder coordination, fundraising, and monitoring. This structure was designed to instill confidence among funders that their resources would be managed transparently and effectively.

The implementation scenario for the Eldoret-Iten Water targets five key catchments: Moiben, Kipkaren, Two Rivers, Kesses and Sabor, which are identified as critical for water supply to Eldoret and Iten. These catchments face significant threats including deforestation, soil erosion, and climate-induced variability in rainfall. The scenario envisions a phased rollout of nature-based solutions (NbS) across these landscapes, with interventions tailored to land use, slope, and community needs.

Key activities include the restoration of 120,000 hectares of farmland, forest, and riparian zones, planting of one million trees, focusing on indigenous species to restore biodiversity and hydrological function, construction of 2,000 water pans for household use and irrigation, improving water access and resilience, Installation of 10 water monitoring stations to track water quality and quantity in real time, Training of Water Resource User Associations (WRUAs) and community groups to manage conservation activities, promotion of alternative livelihoods such as beekeeping, improved cookstoves, and high-value crops, to reduce pressure on forests and agroforestry will be promoted on 15% of farmlands alongside other sustainable land management practices on steep slopes to reduce erosion and improve farm productivity.

The implementation approach is designed to be inclusive and participatory, involving Water Resource User Associations (WRUAs), Community Forest Associations (CFAs), and local governments. The financing strategy is diverse and flexible, offering multiple entry points for different types of funders. These include conservation levies collected through water service providers, grants and donations from philanthropic organizations and development partners, carbon market revenues from reforestation and agroforestry, co-sharing capitalization between public and private entities, and concessional loans for infrastructure and livelihood investments. This multifaceted approach reduces dependency on any single funding source and enhances long-term sustainability.

Invest $15 million to implement nature-based solutions across 120,000 hectares of degraded farmlands, forest lands and wetlands in five priority catchments (Moiben, Two Rivers, Kesses, Sabor, Kipkaren), reduce sedimentation by 2.6 million m³ annually, increase water yield by 3% and generate $4.1 million in annual gross returns for farmers through improved soil productivity, crop yields, and sustainable land management by 2030.

The vision of the Eldoret–Iten Water Fund is to secure reliable, affordable, and high-quality water for the rapidly growing towns of Eldoret and Iten while restoring the integrity of the catchments that sustain them. By investing in nature-based solutions, the project seeks to create a healthy watershed that regulates flows, reduces sedimentation, and replenishes groundwater, ensuring water security for both downstream and upstream users.
Beyond water, the Fund envisions a landscape where sustainable land management, forest and wetland restoration, and climate-smart agriculture strengthen rural livelihoods, enhance biodiversity, and build climate resilience. The project aspires to serve as a long-term financing and governance mechanism that unites public, private, and community stakeholders around shared natural capital, providing a scalable model for integrated watershed management in Kenya and beyond.

By 2030, EIWF will:

• Improve water quality and reduce sedimentation – by implementing soil and water conservation measures, the water fund targets to restore 3,500 ha of degraded farmlands. Through a combination of terrace farming and strip farming the water fund, aims to reduce the sediment yields by 45.6% on average. 
• Increase water quantity and reliability – through the restoration of 500 ha of degraded wetlands, 15,000 of degraded forest land as well as riparian zones, the water fund seeks to improve dry-season flows by around 3% by the end of the project period.
• Restore and improve 120,000 ha of degraded land – this includes farmlands, forest land and wetlands by growing one million indigenous, naturalized and agroforestry trees.
• Enhance community livelihoods and climate resilience – by promoting climate-smart agriculture and alternative livelihoods such as beekeeping and high-value crops, the water fund targets to engage 5,000 households, increasing food production by 20% for smallholder farmers.
• Strengthen institutional and governance mechanisms – this is by establishing the Water Fund as a registered Trust under Kenyan law. This includes operationalizing the Board of Trustees, the Board of Management and Advisory Counsil.

The governance framework for the EIWF is designed to transition from a GEF-supported project into a fully institutionalized Water Fund. This transformation is modeled on the successful Upper Tana Nairobi Water Fund and aims to ensure long-term sustainability, transparency, and stakeholder ownership. At the apex of the governance framework is the Board of Trustees (BOT), which serves as the highest decision-making body. The BOT is composed of representatives from key stakeholder groups, including county governments, water service providers, private sector actors, and conservation organizations. Its primary role is to provide strategic oversight, ensure trustee accountability, and safeguard the water fund’s mission and legal integrity.

Supporting the BOT is the Board of Management (BOM), which is responsible for overseeing the technical and operational aspects of the Water Fund. The BOM includes individuals with expertise in water resource management, finance, conservation, and community engagement. It ensures that the implementation of the WIP aligns with strategic goals and that performance targets are met. Additionally, a Stakeholder Steering Committee, formed during the project’s preparatory phase, will evolve into an Advisory Council. This body will offer localized insights and support the BOT and BOM in stakeholder coordination and strategic decision-making. The Ministry of Environment, Forestry and Climate Change chairs the Project Steering Committee (PSC), which includes senior representatives from IFAD, TNC, the National Treasury, and key environmental and water agencies. The PSC plays a critical role in aligning the project with national and county-level programs, reviewing progress, and facilitating cross-project learning, especially between EIWF and UTNWF.

The Project Management Unit (PMU) is the operational backbone of the EIWF and is central to the successful execution of the WIP’s technical objectives. Housed jointly by The Nature Conservancy (TNC) and ELDOWAS in a field office in Eldoret, the PMU is responsible for the day-to-day management and coordination of project activities. It consists of a Project Manager, Monitoring & Evaluation Officer, Operations Officer, Field Conservation Coordinator, and up to four field extension officers seconded from county agencies. The PMU ensures that all interventions are implemented on time, within budget, and to the expected quality standards. It also serves as the primary liaison between field operations and the governance bodies, providing regular updates and technical feedback to inform strategic decisions.

Financial oversight of the EIWF project is led by TNC as the executing agency. TNC is responsible for managing disbursements, procurement, and financial reporting in accordance with IFAD, GEF, and Government of Kenya requirements. Within the PMU, the Operations Officer specifically handles procurement and financial activities, ensuring compliance with established procedures and maintaining transparency. The total investment for the WIP is estimated at $15.7 million and this includes costs for implementing nature-based solutions, supporting alternative livelihoods, and maintaining operational infrastructure. Funding sources include GEF grants administered through IFAD, co-financing from county governments and private sector partners.

The WIP outlines a multi-prolonged funding approach that includes:

• Catchment Conservation Levies - Water service providers (WSPs) such as ELDOWAS and ITEWASCO, in collaboration with the Water Resources Authority (WRA), may introduce targeted conservation levies. These levies would be embedded in water tariffs and earmarked specifically for catchment protection activities. This mechanism offers a predictable and locally generated revenue stream.
• Grants and Donations - Development partners, philanthropic foundations, and bilateral donors are being approached to provide grants that cover capital investments and capacity building.
• Carbon Markets - The Water Fund intends to monetize reforestation and agroforestry activities through carbon credits. These credits can be sold to offset emissions, generating revenue that supports forest conservation and community livelihoods.
• Co-sharing Capitalization – This is an arrangement whereby the labor costs for certain interventions such as water pans excavation, are provided by the beneficiary and the material costs are financed by the EIWF.
• Loans - With respect to the EIWF there are certain development agencies and commercial banks that may be interested in funding green investments through a loan product that targets socially responsible investments. These loans would be structured to ensure affordability and long-term repayment viability.
• Endowment Fund - A permanent endowment is envisioned to provide financial stability beyond the project lifecycle. Investment returns from the endowment would fund ongoing operations, monitoring, and adaptive management.

Several stakeholders have already expressed strong interest or made preliminary commitments to support the EIWF financially or through in-kind contributions. The Nature Conservancy (TNC), as the executing agency, has committed both technical and financial resources to establish and operationalize the Water Fund. TNC is also leading fundraising efforts and coordinating with partners to mobilize additional support. The Global Environment Facility (GEF), through IFAD, has approved a significant grant of $2.6 million to kickstart the project. This funding is to support biodiversity conservation, land restoration, and institutional strengthening. County governments of Uasin Gishu and Elgeyo Marakwet have pledged co-financing through seconded staff and potential budget allocations for conservation activities. Their involvement is critical, especially given the trans-boundary nature of the catchments and the need for inter-county collaboration.

The Feasibility report formed a basis to establish the Eldoret-Iten Water Fund to protect critical catchments and ensure long-term water security. Using hydrological modeling and stakeholder consultations, the study identified five priority catchments, Moiben, Two Rivers, Sabor, Kesses and Kipkaren, as the most critical for intervention. It then mapped out specific land use zones within these catchments, including steep-sloped farmland, degraded forest blocks, riparian zones, and urbanizing areas. This then informed the WIP’s technical design, enabling targeted deployment of nature-based solutions (NbS) such as:

• Sustainable Land Management (SLM) practices and agroforestry on erosion-prone farmland.
• Reforestation with indigenous species in degraded forest areas.
• Riparian and wetland restoration to improve hydrological function.

The study facilitated a thorough stakeholder mapping exercise, identifying key actors across government, civil society, academia, and the private sector. It clarified their roles, interests, and potential contributions to the Water Fund. This analysis laid the groundwork for the WIP’s governance structure. It also facilitated early buy-in from stakeholders such as ELDOWAS, ITEWASCO, county governments, WRUAs, CFAs, and private sector bodies like KAM and KNCCI, ensuring that the WIP would be locally owned and institutionally supported.

The report demonstrated that a $15.7 million investment in catchment conservation could yield $4.1 million in annual gross returns for farmers, reduce sedimentation by 2.6 million m³/year, and delay costly infrastructure upgrades. This analysis provided a strong financial rationale for the WIP and helped attract funding commitments from partners. It also outlined a diversified funding strategy, which was adopted in the WIP to ensure long-term financial sustainability.

The Government of Kenya, as the recipient of Global Environment Facility (GEF) funding, has delegated execution responsibilities to The Nature Conservancy (TNC), which serves as the lead implementing agency. This delegation enables a focused and agile project delivery. TNC operates under a grant agreement with IFAD and works alongside a diverse coalition of partners, including national agencies (e.g., Kenya Water Towers Agency, Kenya Forest Service, Water Resources Authority), county governments, water service providers, private sector bodies, and academic institutions. The Project Management Unit (PMU), jointly hosted by TNC and ELDOWAS in Eldoret, is responsible for day-to-day management and includes a Project Manager, Monitoring and Evaluation (M&E) Officer, Operations Officer, Field Conservation Coordinator, and seconded field extension officers from county agencies. These roles are supported by additional technical experts such as the Water Funds Director, and Programme Accountant.

Transparency is being upheld through a multi-layered governance and oversight approach, even as the Water Fund awaits formal registration as a trust. A Project Steering Committee (PSC), chaired by the Ministry of Environment, Forestry and Climate Change, provides strategic guidance and includes representatives from IFAD, the National Treasury, key environmental agencies, water service providers, private sector organizations, and county governments. This committee reviews progress, aligns project activities with national priorities, and initiates follow-up actions based on lessons learned. Additionally, a 12-member Stakeholder Steering Committee, formed during the project’s preparatory phase, continues to play a vital role in local-level coordination. This body, composed of public and private sector entities, will eventually evolve into an Advisory Council to support the future governance structures of the Water Fund. The Board of Trustees and Board of Management will assume governance and oversight responsibilities once the transition into a trust occurs. In the meantime, TNC retains overall oversight, ensuring continuity and accountability.

The M&E Officer within the PMU tracks performance against global environmental targets, national development goals, and socio-economic indicators relevant to stakeholders and private investor. IFAD, as the fund manager, conducts regular supervision missions, mid-term reviews, and final evaluations. Each mission results in a consolidated report shared with all stakeholders, ensuring that progress is documented and publicly accessible.

The Monitoring and Evaluation Officer, supported by the Project Management Unit (PMU), is currently collecting data on key indicators such as streamflow volumes, sediment loads, water quality, extent of riparian land conserved, and changes in farm productivity and household income. These indicators are directly tied to the Water Fund’s goals of improving water security, reducing catchment degradation, and enhancing community livelihoods. Baseline studies have already been conducted in priority catchments including Moiben, Sabor, Kipkaren, Two Rivers and Kesses to establish reference conditions before interventions. These baselines now serve as benchmarks for evaluating progress. For example, improved water quality and quantity in rivers is being measured against initial sediment yield estimates in reservoirs derived from SWAT hydrological modeling. This allows the team to attribute observed improvements to specific interventions such as terracing, agroforestry, and riparian restoration.

The M&E is using spatial mapping tools and field surveys to track changes in land use, vegetation cover, and erosion patterns. Drone imagery is also being used to visually document progress and engage communities by showing tangible results of their conservation efforts. To make this data actionable and transparent, the EIWF is developing interactive dashboards that consolidate monitoring results into visual formats. These dashboards display real-time updates on key performance indicators (KPIs), such as adoption of sustainable land management practices. These visual tools help validate outcomes and foster transparency. Monitoring results are regularly reviewed by the Project Steering Committee (PSC), which includes representatives from national and county governments, water service providers, and private sector stakeholders. These reviews inform strategic decisions, guide adaptive management, and ensure that the project remains aligned with its environmental and socio-economic objectives. Additionally, IFAD conducts supervision missions and evaluations, producing consolidated reports that validate progress against the project’s logical framework and global environmental targets.

The use of baseline studies and ongoing data collection across the Water Fund’s target catchments, Moiben, Sabor, Kipkaren, Two Rivers and Kesses, have enabled the tracking of key indicators such as streamflow volumes, water quality, extent of riparian land conserved, and farm productivity. The results are analyzed to identify which interventions, such as terracing, agroforestry, or water harvesting are delivering the most significant returns in terms of hydrological improvement and community benefit. This evidence directly informs which activities are scaled up, modified, or phased out in the subsequent year’s operating plan. The M&E, supported by technical assistants and the youth drone team, compiles this monitoring data into dashboards that visualize progress across catchments. These dashboards include real-time updates on key performance indicators, which help pinpoint areas of successful intervention, adoption of interventions by catchments and demographic information. By reviewing these dashboards, the project team can adjust the geographic focus of activities, reallocate budgets to high-impact zones, and refine implementation timelines.

Results of monitoring activities are presented to the Project Steering Committee (PSC), which includes representatives from national and county governments, water service providers, and private sector actors. These reviews ensure that the operating plan reflects both technical evidence and stakeholder priorities. For example, if sediment reduction targets are not being met in a particular sub-catchment, the PSC may recommend intensified SLM activities or additional community engagement in that area. Monitoring data is also used to assess the cost-effectiveness of interventions. The economic analysis component of the M&E framework compares investment costs with benefits such as improved farm incomes. These insights help the Water Fund optimize its resource use and justify funding allocations in the annual plan.

The Government of Kenya, as the recipient of Global Environment Facility (GEF) funding, has delegated execution responsibilities to The Nature Conservancy (TNC), which serves as the lead implementing agency. TNC operates under a grant agreement with IFAD and works in close collaboration with national agencies such as the Kenya Forest Service (KFS), Water Resources Authority (WRA), and the National Environment Management Authority (NEMA), County governments of Uasin Gishu and Elgeyo-Marakwet, water service providers (ELDOWAS and ITEWASCO), private sector bodies, and academic institutions also play key roles in implementation. The Project Steering Committee (PSC), chaired by the Ministry of Environment, Forest and Climate Change, is tasked with reviewing project progress, providing strategic direction, and initiating follow-up actions based on lessons learned.

At the local level, a 12-member Stakeholder Steering Committee has been formed to support project preparations and stakeholder mobilization. This committee comprises a diverse consortium of public and private sector entities with vested interests in water and conservation, including TNC, local water service providers, county governments, universities, private sector representatives, and community-based organizations such as Water Resource Users Associations (WRUAs) and Community Forest Associations (CFAs). As the project progresses, this committee will transition into an Advisory Council that supports the Water Fund’s governance bodies, the Board of Trustees and the Board of Management. The EIWF is designed to evolve into a fully institutionalized Water Fund, modeled after the successful Upper Tana Nairobi Water Fund (UTNWF). This transformation involves establishing a Trust Fund governed by a Board of Trustees responsible for strategic oversight, a Board of Management overseeing operational execution, and a Secretariat handling day-to-day activities.

Operational management is handled by a Project Management Unit (PMU) based in Eldoret, hosted by TNC and ELDOWAS. The PMU includes a Project Manager, Monitoring and Evaluation (M&E) Officer, Operations Officer, Field Conservation Coordinator, and four field extension officers seconded from county agencies. This team is supported by technical experts in water funds and finance. The Operations Officer oversees procurement and financial activities, while service delivery is facilitated through Memoranda of Understanding (MoUs) and subcontracts with specialized service providers. County governments contribute by seconding extension staff to work directly with farmers, with the project covering facilitation costs. The project’s financial management is the responsibility of TNC, which ensures transparent and accountable handling of funds. This includes budgeting, procurement, disbursement, and reporting, all conducted in accordance with IFAD and GEF requirements.

The Water Fund has deployed several nature-based solutions (NbS) such as: Sustainable Land Management (SLM) practices and agroforestry on erosion-prone farmland, reforestation with indigenous species in degraded forest areas, riparian and wetland restoration to improve hydrological function and water harvesting across the five catchments namely, Moiben, Sabor, Kipkaren, Two Rivers and Kesses. So far, a total of 1,064 water pans had been installed, to harvest rainwater and collect surface runoff for agricultural and domestic use. The cumulative water saved annually from these pans is estimated at 113.46 million liters, significantly reducing pressure on river sources and enhancing water security for local communities. Sustainable Land Management (SLM) practices are being promoted to rehabilitate 3,500 hectares of degraded farmland. These practices include soil and water conservation techniques such as terrace excavation, agroforestry, and planting of grass strips. To date, 37,967 households have benefited from SLM interventions and water harvesting techniques.

The Indigenous Peoples Action Plans (IPAPs) are a standout feature of the WIP, reflecting a commitment to inclusive and culturally sensitive conservation. The Sengwer, Ogiek, and Cherangany communities are actively involved developing their Free, Prior and Informed Consent (FPIC) and implementing their IPAPs, which integrate traditional knowledge with modern conservation practices. As of September 2025, 575 improved cook stoves have been installed in Ogiek and Cherang’any households. These stoves help reduce deforestation and greenhouse gas emissions while promoting sustainable fuel use. Additionally, the communities are working towards restoring their ecosystems through practices tied to their respective cultures. The Sengwer community has established a tree nursery with over 300,000 indigenous tree seedlings with the support of The Nature Conservancy through the EIWF. These seedlings are critical in restoring the degraded ecosystem of the Cherang’any Hills, the Sengwer homeland. The Ogiek, known for their mastery in beekeeping, have constructed a fully furnished bee-hive making workshop, with the support of TNC, where they make modern beehives. 250 beehives have been made so far and 43 youth have been trained in the workshop on modern beehive making and graduated. This initiative has also been supported by the county government of Uasin Gishu who provided honey processing equipment to further empower the community.

Technology and data-driven monitoring are integral to the WIP. This has been prioritized through a drone monitoring program, where 15 local youths have been trained and licensed as drone pilots. These drones are used to capture aerial images of restoration sites and monitor project progress. River guage stations have been installed to measure water quantity, supporting evidence-based decision-making. Finally, capacity building and outreach efforts have strengthened the project's foundation. EIWF leaders participated in Africa Water Funds trainings in Kenya and Sierra Leone, while community sensitization continues through barazas and farmer education sessions, ensuring widespread understanding and support for the project’s goals.

The fund prioritizes catchment areas such as Moiben, Sabor, Kipkaren, Two Rivers and Kesses, which are critical to the water supply for Eldoret and Iten. These areas face threats like deforestation and soil erosion. To mitigate these risks, the EIWF proposes sustainable land management practices including terracing, grass strips, and agroforestry. These measures are intended to reduce sedimentation in dams, improve water retention, and enhance biodiversity, thereby securing water resources for future generations. Engaging IPLCs is another cornerstone of the EIWF’s sustainability strategy. The fund promotes alternative livelihoods such as tree nursery establishment, beekeeping, improved cookstoves, and high-value crop farming to reduce dependence on forest resources and improve household incomes. By integrating conservation with economic empowerment, the EIWF aims to foster local ownership and long-term commitment to catchment protection.

Financial sustainability is addressed through a diversified funding model. The EIWF plans to leverage public and private sector contributions, conservation levies, grants, carbon markets, and co-financing arrangements. An economic analysis in the pre-feasibility report projects positive net benefits after 19 years, with improved water flows and reduced sedimentation extending the lifespan of critical infrastructure like dams. This financial viability strengthens the case for sustained investment in catchment conservation. Institutionally, the EIWF is modeled after successful initiatives like the Upper Tana Nairobi Water Fund. It will be legally registered as a trust, governed by a Board of Trustees and a Board of Management comprising representatives from key stakeholder groups. A lean secretariat will oversee implementation, fundraising, and coordination. This governance structure is designed to ensure transparency, accountability, and effective management of resources.  As part of the sustainability measure, EIWF will resource mobilize 1M USD into an endowment fund.

The EIWF incorporates a robust monitoring and evaluation (M&E) framework to track progress and adapt strategies over time. Indicators such as streamflow, water quality, farm productivity, and household income will be monitored to assess the impact of interventions. Baseline studies and regular evaluations will inform decision-making and ensure that the fund remains responsive to emerging challenges.