This paper addresses the design of a state estimation and sensor fault detection, isolation and fault estimation observer for descriptor-linear parameter varying (D-LPV) systems. In contrast to where the scheduling functions depend on some measurable time varying state, the proposed method considers the scheduling function depending on an unmeasurable state vector. In order to isolate, detect and estimate sensor faults, an augmented system is constructed by considering faults to be auxiliary state vectors. An unknown input LPV observer is designed to estimate simultaneously system states and faults. Sufficient conditions to guarantee stability and robustness against the uncertainty provided by the unmeasurable scheduling functions and the influence of disturbances are synthesized via a linear matrix inequality (LMI) formulation by considering H∞ and Lyapunov approaches. The performances of the proposed method are illustrated through the application to an anaerobic bioreactor model.