Financing Water Infrastructure Training Course

Duration 10 days 18 modules · 65 contact hours
Level Intermediate Certificate on completion
Who attends Water utility finance managers, Water and sanitation project managers and others
Fee from USD 2,200 KSh 190,000 for Kenyan organisations
Where 52 cities + online See dates by city
Next start 16 Nov 2026 Course code SD-WS-045

Before you join: Participants should have practical exposure to water, sanitation, infrastructure planning, public finance, utility operations, project management or development programmes.

Dates & prices

Two start dates a month in every city, and live online on weekdays or weekends. Fees are per participant; classroom fees include tuition, materials, lunch and refreshments, and the certificate.

Suggest a date or city

Showing the next six months. Later dates, other cities and private deliveries for your team are available on request.

Course overview

Water and sanitation providers face a persistent financing gap: networks require rehabilitation, treatment capacity must expand, non-revenue water reduces cash generation, and poor households need affordable service. Project sponsors must turn technical investment needs into credible financing propositions that public authorities, utilities, development finance institutions, commercial lenders and private partners can assess. This requires more than a capital-cost estimate; it requires a defensible service, revenue, risk and repayment model.

This course equips participants to structure financing for water supply, wastewater, sanitation and fecal sludge management investments. Participants assess project economics, build demand and revenue assumptions, estimate lifecycle costs, test tariff and subsidy options, prepare cash-flow forecasts, and compare public finance, concessional finance, commercial debt, blended finance and public-private partnership structures. The course also addresses creditworthiness, financial due diligence, environmental and social requirements, procurement choices, risk allocation and lender-ready project preparation.

Teaching combines focused briefings with worked cases from municipal utilities, rural water schemes, wastewater treatment plants and non-sewered sanitation services. Participants progressively develop a financing case for a water infrastructure investment, using practical templates for financial modelling, risk allocation and funding strategy. They leave with a completed investment financing package that can be adapted for a utility board paper, government budget submission, development partner concept note or lender discussion.

The course is suited to professionals responsible for planning, financing, regulating, operating or supporting water and sanitation investments. It is particularly relevant where public budgets are constrained, tariffs are politically sensitive, service providers have weak financial performance, or projects require several sources of capital.

What you will be able to do

  • Assess water infrastructure investment needs using lifecycle cost and service-level analysis
  • Build project cash-flow forecasts from demand, tariff, collection and operating-cost assumptions
  • Compare public, concessional, commercial and blended financing sources for water investments
  • Evaluate utility creditworthiness using financial ratios, revenue quality and debt-service capacity
  • Structure tariff, subsidy and affordability approaches using cost-recovery principles
  • Allocate project risks through a water-sector risk matrix and contractual framework
  • Prepare lender-ready financing materials including a project information memorandum
  • Present a complete water infrastructure financing case with justified funding recommendations

Benefits of attending

For you

  • Produce financially credible cases for water and sanitation capital investments
  • Discuss financing terms confidently with lenders, government officials and development partners
  • Identify weak revenue, affordability and risk assumptions before funding applications fail
  • Apply financial analysis to utility rehabilitation, expansion and service-improvement programmes
  • Build a portfolio-ready financing case for a real or representative infrastructure project

For your organisation

  • Improve the quality and consistency of water investment funding submissions
  • Reduce poorly structured projects entering procurement or lender due diligence
  • Match capital sources to project risks, repayment capacity and public-service obligations
  • Strengthen utility financial planning for asset renewal and service expansion
  • Create clearer evidence for tariff decisions, subsidies and public budget allocations

Course modules

18 modules over 10 days

Participants can connect water service objectives, infrastructure needs and financing requirements.

  • Water supply, sanitation and wastewater assets linked to service outcomes
  • Service-level targets translated into capacity, coverage and reliability requirements
  • Capital expenditure, operating expenditure and renewal expenditure distinguished clearly
  • Infrastructure financing gap diagnosed through investment needs and available resources
  • Public-service obligations and commercial incentives examined within utility mandates
  • Project boundaries defined for network, treatment and sanitation investments

Participants can map institutional responsibilities and financial flows for a proposed investment.

  • Sector mapping identifies ministries, utilities, regulators, municipalities and operators
  • Revenue flows traced from customers, taxes, transfers and external funding
  • Asset ownership separated from operational responsibility and borrowing authority
  • Intergovernmental transfer mechanisms assessed for predictability and conditionality
  • Regulatory functions linked to tariff approval, service standards and reporting
  • Financing roles clarified between government, utility, donor and private partner

Participants can prioritise water investments using transparent service, cost and risk criteria.

  • Multi-criteria analysis ranks projects against service, cost and risk criteria
  • Asset condition assessments inform rehabilitation and replacement investment priorities
  • Population, demand and climate assumptions tested within project forecasts
  • Least-cost analysis compares technical options meeting equivalent service requirements
  • Investment pipelines sequenced by readiness, affordability and implementation capacity
  • Project concept notes state problem, beneficiaries, scope and financing need

Participants can estimate the full cost of owning and operating water infrastructure.

  • Lifecycle costing combines capital, operating, maintenance and renewal expenditures
  • Capital cost estimates separated into construction, land, design and contingencies
  • Energy, chemicals, labour and sludge management cost drivers identified
  • Renewal schedules reflect asset lives, condition and expected rehabilitation cycles
  • Whole-life cost comparisons support technology selection and procurement choices
  • Cost escalation assumptions documented using local inflation and exchange-rate evidence

Participants can develop demand and revenue projections for a water service investment.

  • Customer segmentation distinguishes households, institutions, industry and bulk users
  • Water demand forecasts incorporate connections, consumption and service-hours assumptions
  • Collection efficiency separated from billing efficiency and physical water losses
  • Non-revenue water quantified through production, billing and authorized-consumption data
  • Revenue projections calculate billed volumes, tariffs, collection and arrears
  • Scenario analysis tests demand sensitivity under drought, growth and affordability constraints

Participants can assess tariff and subsidy options against cost recovery and affordability.

  • Cost-recovery analysis compares tariff revenue with operating and capital requirements
  • Increasing-block tariffs assessed for equity, conservation and revenue performance
  • Affordability indicators calculate household water expenditure against income benchmarks
  • Connection charges analysed separately from recurring consumption and sanitation fees
  • Targeted subsidies compared with untargeted tariff discounts and cross-subsidies
  • Tariff adjustment paths modelled against inflation, service commitments and politics

Participants can interpret utility financial statements for investment financing decisions.

  • Income statements distinguish operating margins, depreciation, finance costs and deficits
  • Balance sheets identify receivables, liabilities, fixed assets and accumulated losses
  • Cash-flow statements reconcile operating cash generation with capital expenditure
  • Working capital analysis examines billing delays, collections and supplier payment cycles
  • Key performance indicators connect operational performance with financial outcomes
  • Financial data quality checks identify missing, inconsistent and non-recurring items

Participants can build a project cash-flow model and test its financing capacity.

  • Annual cash-flow model integrates capital costs, revenues and operating expenditures
  • Funding drawdown schedules align construction milestones with financing agreements
  • Debt service schedules calculate interest, principal and grace-period effects
  • Free cash flow calculated before and after financing obligations
  • Debt-service coverage ratio measured against lender repayment requirements
  • Sensitivity tables test tariffs, costs, delays, exchange rates and collections

Participants can assess public funding routes for water infrastructure investments.

  • Public investment management cycle links appraisal, budgeting, procurement and monitoring
  • Capital grants assessed against fiscal space, allocation rules and counterpart funding
  • Medium-term expenditure frameworks connect sector plans to multi-year budget ceilings
  • Municipal borrowing authority checked against legal limits and approval processes
  • Output-based aid structures link disbursements to verified service results
  • Budget risk analysis identifies delayed releases and unfunded operating obligations

Participants can match concessional finance instruments to project needs and conditions.

  • Concessional loans compared by maturity, grace period, currency and conditions
  • Development grants assessed for eligibility, procurement rules and reporting burdens
  • Blended finance combines public funds, concessional capital and commercial funding
  • Technical assistance facilities support preparation, transaction advice and capacity building
  • Foreign exchange risk assessed for loans denominated in hard currencies
  • Co-financing arrangements align appraisal standards, disbursement rules and safeguards

Participants can assess whether a utility or project can support commercial borrowing.

  • Creditworthiness assessment reviews revenue stability, governance and debt repayment capacity
  • Liquidity ratios measure short-term capacity to meet operating obligations
  • Debt capacity estimated from cash flow, covenants and repayment profiles
  • Security packages examine guarantees, escrow accounts, receivables and assets
  • Lender due diligence reviews governance, contracts, accounts and legal authority
  • Term sheets compared for pricing, tenor, covenants and prepayment provisions

Participants can compare partnership structures for water and sanitation infrastructure delivery.

  • Management contracts separate operational incentives from capital financing responsibility
  • Lease contracts allocate operating risk while preserving public asset ownership
  • Concession structures link investment obligations to tariff and demand risks
  • Build-operate-transfer arrangements assess construction, financing and handback requirements
  • Public-private partnership screening tests value for money and fiscal affordability
  • Performance-based contracts specify measurable service, efficiency and payment indicators

Participants can allocate major project risks and identify appropriate mitigation measures.

  • Risk register identifies construction, demand, revenue, political and climate risks
  • Probability-impact scoring prioritises risks requiring contractual or financial treatment
  • Risk allocation assigns responsibility to parties best able to manage exposure
  • Contingency allowances sized against design maturity and delivery uncertainty
  • Guarantees, insurance and reserve accounts address specific financing risks
  • Force majeure provisions distinguish insurable events from government compensation events

Participants can incorporate environmental, social and climate requirements into financing plans.

  • Environmental and social screening identifies safeguards required before financing approval
  • Land acquisition and resettlement costs included within project financial models
  • Climate risk screening tests flood, drought and heat exposure
  • Climate adaptation measures assessed for costs, benefits and financing eligibility
  • Gender and social inclusion indicators linked to service access targets
  • Safeguard action plans assign budgets, responsibilities and implementation schedules

Participants can align procurement and contract provisions with financing requirements.

  • Procurement strategy matches contract packaging to market capacity and risk
  • Design-build and design-bid-build compared for cost and schedule certainty
  • Contract payment mechanisms align milestones, quality verification and cash-flow needs
  • Performance securities and retention provisions assessed for contractor default protection
  • Change-control procedures limit unapproved variations and budget overruns
  • Bankability review checks permits, land rights, contracts and revenue agreements

Participants can prepare a coherent financing strategy and supporting decision materials.

  • Financing strategy matches funding sources to project components and risk profiles
  • Capital structure defines grants, equity, debt and public budget contributions
  • Sources-and-uses table reconciles total funding with planned expenditures
  • Project information memorandum presents service case, economics and financing request
  • Data room checklist identifies technical, legal, financial and safeguard documents
  • Stakeholder engagement plan prepares approvals, negotiations and financing communications

Participants can prepare for financing negotiations and monitor post-financial-close obligations.

  • Negotiation mandates define acceptable terms, red lines and approval authority
  • Financing covenants tracked through reporting calendars and responsible owners
  • Disbursement conditions mapped against procurement, safeguards and construction milestones
  • Financial close checklist confirms agreements, approvals and conditions precedent
  • Post-investment monitoring links financial indicators to service delivery results
  • Corrective action triggers address covenant breaches, cost overruns and revenue shortfalls

Participants can build, review and present a complete financing case for a water or sanitation investment.

  • Investment case defines service problem, technical option and beneficiary groups
  • Lifecycle cost model substantiates capital, operating and renewal requirements
  • Revenue forecast demonstrates tariff, collection and subsidy assumptions
  • Financing plan identifies sources, terms, sequencing and funding gaps
  • Risk matrix assigns mitigation measures, owners and residual exposure
  • Peer review tests affordability, creditworthiness, safeguards and bankability evidence
  • Final presentation defends financing recommendation before simulated decision-makers

Exercises and examples are adapted to each cohort's sectors and roles.

What you take back to work

  1. Water infrastructure lifecycle cost model
  2. Project cash-flow forecasting template
  3. Tariff affordability and subsidy analysis
  4. Utility creditworthiness assessment checklist
  5. Water project risk allocation matrix
  6. Lender-ready financing case package

Who should attend

  • Water utility finance managers — responsible for funding capital programmes and maintaining financial viability
  • Water and sanitation project managers — need financeable cases for planned infrastructure investments
  • Government infrastructure planners — prepare budgets, investment pipelines and funding submissions
  • Utility regulators — assess tariffs, service obligations and financial sustainability
  • Development finance and NGO programme staff — structure funding for sustainable water services
  • Commercial bank and advisory professionals — assess water-sector borrowers and project proposals

Skills and tools covered

Water project financeLifecycle cost analysisCash-flow modellingTariff designCreditworthiness assessmentRisk allocation

Tools and standards

OECD Principles on Water Governance, World Bank PPP Reference Guide, IMF Public-Private Partnership Fiscal Risk Assessment Model, WHO/UNICEF Joint Monitoring Programme service ladders

How the course runs

Training methodology

The course uses short technical briefings, instructor-led modelling demonstrations, sector cases and structured group analysis. Participants work with utility accounts, demand forecasts, tariff schedules, capital budgets and financing term sheets drawn from water and sanitation settings. Simulations examine lender appraisal, tariff decisions and risk negotiations between public authorities, utilities and private partners. Each participant develops elements of a financing case throughout the course, receives peer and instructor review, and completes an application plan for their own investment pipeline.

Requirements and prerequisites

Participants should have practical exposure to water, sanitation, infrastructure planning, public finance, utility operations, project management or development programmes. They should be comfortable reading basic budgets, income statements and project cost estimates, although advanced financial modelling is not assumed. Familiarity with local water-sector institutions, tariff arrangements or public investment procedures is useful. Participants do not need prior experience in project finance, lending, accounting qualifications, spreadsheet programming or public-private partnerships. The course explains financial terms before applying them to water infrastructure decisions.

A typical training day

08:30 – 10:30First session
10:30 – 10:45Refreshment break
10:45 – 12:30Second session
12:30 – 13:30Lunch and networking
13:30 – 15:00Third session
15:00 – 15:15Refreshment break
15:15 – 16:30Workshop and daily review

Live online deliveries follow the same structure in East Africa Time, with shorter screen blocks and longer breaks.

What the fee includes

  • Instruction by a practitioner facilitator
  • Full course workbook and materials
  • Exercise files, templates and case studies
  • Refreshments and lunch on classroom deliveries
  • Certificate of completion
  • Post-course application plan

Frequently asked questions

Participants should be able to read basic budgets and project cost estimates. The course introduces project-finance concepts, financial statements and lending terminology before applying them to water investments.

Bring a laptop for financial modelling work and, where possible, a current or planned water investment case. Useful materials include cost estimates, tariff schedules, utility accounts, demand forecasts or project concept notes.

It suits utility managers, government planners, regulators, project managers, development practitioners and finance professionals working on water or sanitation investments. It is designed for professionals who must secure, assess or manage capital funding.

The course focuses on water-sector revenue models, tariffs, affordability, utility performance, public funding and service obligations. General project-finance concepts are applied to water supply, wastewater, sanitation and fecal sludge management cases.

Participants can use the templates to review an investment pipeline, test a proposed tariff path, prepare a funding submission or assess borrowing capacity. The capstone package can be adapted to an active project after the course.

The first week establishes service economics, costing, revenues, tariffs, utility finance and cash-flow modelling. The second week addresses funding sources, debt, partnerships, risks, safeguards, procurement, negotiations and the final financing case presentation.

Questions about this course?

Ask about dates, fees, group bookings or running it for your team. Our training team replies by email.

Ask on WhatsApp info@skillsetdevelopment.com

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