The Blyde River catchment is a complex and ecologically and socio-economically diverse area facing multiple threats from alien plant invasions, illegal mining and land-use changes from natural to degraded. Unsustainable land-use activities upstream and increasing water demand from population growth and economic activities, in the context of increasingly variable climate, result in water insecurity and biodiversity loss. This directly impactscritical natural assets, it causes financial losses and economic uncertainty, and it limits people’s ability to adapt to ever-changing climatic conditions.

The upper Blyde River Catchment provides important ecosystem services to downstream areas in the form of water provision, flood attenuation, erosion control, and habitat for wildlife. If these threats are not addressed, the Blyde River Catchment’s important ecosystem services will continue to diminish, with drastic consequence to livelihoods, climate resilience and economic prosperity.

This iniative aims to finance and implement a Catchment Investment Program (Water Fund) to protect the state of the Blyde River Catchment, and other key catchments into the future. This will be achieved through a more integrated and collaborative approach to restoring and protecting key catchments in the K2C region that benefit multiple downstream stakeholders. Key implementation initiatives include alien invasive plant clearing, sustainable rangeland management and protected area expansion.

To realise long-term benefits, the CIP will be established in two phases. In the first five years – the High-Impact Phase – the CIP requires R125 million ($7 million) in funding to initiate and scale-up Nature-based Solutions implementation. Over this period the CIP will also fully establish its governance arrangements and its long-term sustainable financing mechanisms. Seed capital provided for the High-Impact Phase will support the CIP’s ability to prove its impact. This proof will catalyse longer-term support from a range of sustainable finance providers. The source of sustainable finance will be a blend of carbon credits, biodiversity compensation payments, and potential catchment levies. If the investment in the first phase is successful, this will enable a R260 million ($14.9 million) sustainably funded catchment restoration and conservation programme for the next 30 years.