Environmental Incentives (EI) is happy to announce a partnership with Tetra Tech on the U.S. Agency for International Development’s (USAID) Water, Sanitation and Hygiene Finance 2 (WASH-FIN 2) activity. WASH-FIN 2 builds on USAID’s WASH-FIN programming (2016—2022), which mobilized over $118 million in public and private finance. The activity will collaborate with governments, development partners, financial institutions, service providers, and local stakeholders to close financing gaps and improve governance structures.
In order to mobilize funds from a mix of private investments, government appropriations, and user fees, WASH-FIN 2 will focus on addressing policy, legal, and regulatory challenges that create bottlenecks in the enabling environment. The project aims to mobilize $375 million by 2027 for climate-resilient water and sanitation services and strengthen at least 165 sector institutions and service providers. In addition, the project supports key USAID and U.S. government initiatives, including the U.S. Global Water Strategy 2022-2027 and USAID’s Strategy Vision, the President’s Emergency Plan for Adaptation and Resilience (PREPARE), and the Agency’s 2022-2030 Climate Strategy.
EI will lead global learning for the activity, focusing on systematic knowledge management to help advance USAID’s global thought leadership in the WASH sector and improve knowledge on what works in financing climate-resilient water and sanitation projects. EI served in a similar role as the learning lead on the Sustainable WASH Systems (SWS) Learning Partnership, which closed in April 2022.
According to the Joint Monitoring Programme, 771 million people do not have access to basic drinking water, and 1.7 billion people lack access to basic sanitation. While the United Nations’ Sustainable Development Goal 6 on water and sanitation sets ambitious universal access targets for 2030, success requires unprecedented mobilization of funding for WASH. The World Bank estimates approximately five times the current funding levels are needed, and this cost will rise even higher in a changing climate.
“Investment in WASH is central to achieving development outcomes in health, education, gender equality, and the environment. We believe strengthening the capacity and influence of USAID and its partners to mobilize finance will lead to more sustainably managed and financed climate-resilient water and sanitation services,” said Amy Gambrill, EI Director.