Will drinking more water help reverse effects of kidney failure?

Not useful unless... Unless your kidney failure is caused by dehydration, drinking fluids will not help a kidney failure. Actually you need to ration liquid intake to avoid fluid overload and edema. If you kitchen sink drain is stopped up, you usually avoid putting much water in it!
No. If you have a chronic condition that has caused kidney failure then it's important to avoid becoming "dehydrated" because that can temporarily worsen it, but in the long run the answer is "no"; simply drinking a lot of water won't reverse damage that has occurred. Controlling diabetes (the most common cause), high blood pressure, or treating other issues that caused the failure are important.