if you have the correct alchemy plants and a holy water in inventory, just right clicking on either should provide the option.
don't remember if to do so the character must also be the selected 'leader' or not.

honour - i hope you didn't take my last post as insulting. that was far from my intent. i simply haven't used them because of the challenge.
if you look at the picture where i show the potions, you'll also notice that i have 23-25 unused attribute points and a number of unused skill points.
i was just trying to keep the game from becoming far too easy, and thus the reference to unused holy waters.