During the life of the Walvis Bay Local Agenda 21 Project, small-scale Local Agenda 21 Projects were launched to demonstrate implementation of the newly adopted Integrated Environmental Policy, applying LA21 principles and increasing awareness on environmental issues within the communities of Walvis Bay. To sustain these environmental management activities after completion of the project, an Environmental Fund was established in 2003.

After revising existing tariff structures in the Municipality it was decided to utilise income from the existing water, electricity, refuse and sewage tariffs as the main source of funding for the Environmental Fund. The advantages of financing environmental activities through restructuring of existing charges were obvious, as the funds were readily available and administration systems were already in place.

The fund was established as a municipal fund financed from revenues charged and collected by the Municipality of Walvis Bay, to be used as a tool for environmental activities in local communities, relying heavily on existing services and expertise in the Municipality. The fund was designed to provide up to 100% grant finance of approved project proposals.

Every six months the communities in Walvis Bay are now invited to submit project proposals to the Environmental Fund Management Group for approval. After the first evaluation process was completed five out of sixteen project proposals were approved, which accounted to approximately 50% of the total budget for the Environmental Fund for that financial year.

Amongst the first approved projects were a shell harvesting project and an improvement in the management of medical waste project (involving medical waste generators in the whole coastal area around Walvis Bay).