Project Title: Kenya Water Fund Project lead: Fred Kizito Leader Center: CIAT SRP/Theme mapped into: RDE Title: Research for Africa’s First Water Fund: Tana Basin, Kenya What is the outcome of the research: (200 words) This is a process outcome that can lead to impact. CIAT was invited by The Nature Conservancy (TNC) to support their Tana Basin Water Fund. This partnership is leading to new opportunities to use scientific research to support investment that can make implementing sustainable farming practices more attractive to farmers and preserve essential ecosystems services. CIAT’s is providing research to ensure greater impact and a better return on Water Fund investments. The research itself involves ecosystem services evaluation and monitoring, targeting for future interventions and their impacts on high value ecosystem services, e.g. clean water. Results will support development of payment schemes that will benefit smallholder farmers to provide ecosystem services to downstream users, such as Nairobi Water Company. In addition, CIAT provides training and support for collaborating partners to monitor water quality, land health and livelihoods to assess the impact of interventions. Sedimentation runoff from farmland, quarries and unpaved roads, poses a serious threat to water supplies and quality downstream. Silt-laden water washes from upstream rural communities, reducing drinking water quality for downstream farming communities and urban dwellers, impacting electricity generation and clogging water treatment equipment. Without action, water quantities and quality will continue to worsen, raising the price of water and electricity as it becomes less available. What outputs produced in the 3 preceding years resulted in that outcome: In June 2013, CIAT joined the already-established partnership to provide the scientific research and monitoring needed for TNC and partners to launch the first Water Fund in Africa later this year. CIAT research will lead to important research papers and most importantly evidencebased recommendations for Water Fund investors, and implementing partners. On-going research includes land use and land cover change using satellite imagery, characterisation of quarries using Google Earth, monitoring water quality, hydrological modelling and scenario assessments to predict the environmental impact of land use practices on sediment levels. In addition, the Resource Investment Optimisation Tool (RIOS) developed by the Natural Capital Project helps to prioritise investments pertinent to ecosystem services in landscapes by identifying where protection or restoration activities are likely to yield the greatest benefits for both people and nature at the lowest cost. In addition, CIAT will conduct a trade-off analysis to ensure interventions are not having an adverse impact on farmer livelihoods. What partners helped in producing the outcome and what was their role? The Nature Conservancy (TNC) is leading efforts to bring water users and land managers together to find shared solutions to the Tana River challenges. The current year long pilot study is part of TNC’s role for making the business case for the water fund investors CIAT and TNC research will support the efforts of local partners such as Sustainable Agriculture Community Development Programmes (SACDEP) who work with farmers to introduce sustainable land management practices to reduce soil erosion. As part of a pilot study to prove the Water Fund will have an effect downstream they are currently working with 600 farmers in the Upper Tana, Aberdare region. Who used the output? The main users are the potential Water Fund investors and implementers that include 18 public and private partners, including Coca-Cola, East African Breweries, KENGEN and the Water Resources Management Authority (WRMA). Local partners working directly with farmers, such as SACDEP, and the university students and partners engaged in monitoring activities (capacity building), will also use the outputs. How was the output used (or will be used in the future)? This is a preliminary outcome that can lead to the following: The research and subsequent recommendations will be used to target interventions for highest possible impacts and to prove that on-farm interventions work. Without proof, there is no incentive for investment. On a wider scale, if the Tana River Water Fund is successful, it could pave the way for similar investment initiatives across Africa, and have a major impact on livelihoods and ecosystems: upstream land users and downstream rural communities and urban dwellers. What is the evidence for this outcome? Provide solid evidence for this outcome (Document, news article, impact assessment, etc) CIAT Annual Report link http://ciat.cgiar.org/wpcontent/uploads/2014/04/annual_report_2013_2014.pdf or http://wle.cgiar.org/blog/2014/05/22/preserving-kenyas-lifeblood/ http://www.nature.org/ourinitiatives/regions/africa/explore/nairobi-water-fund.xml http://blog.nature.org/conservancy/2013/03/15/water-funds-help-quench-kenyas-thirst/ http://www.nature.org/ourinitiatives/regions/africa/explore/water-fund-tour.xml What are lessons did you learn in this process? The importance of partnerships and providing demand driven and compelling evidence to make the case for investment, especially in economic/bottom line terms when private industry are potential investors. This effort takes lessons learned from Latin America Water Funds, demonstrating the value of cross region learning. 2