Policy and Institutional Study on the Strategic Role of Water Storage in Nepal

Water storage needs in Nepal also vary by sector. Interbasin transfer (IBT) as a solution-which is more diversion than storage-has gained prominence in the agriculture and irrigation sectors, in discussions as well as policy, and storage systems such as small-scale pond/spring systems and large-scale multipurpose reservoirs are being considered. In the domestic sector, small-scale water storage—including pond/spring systems, rainwater harvesting, dug wells, and tube wells—has been promoted in policy but implementation remains scattered. In the hydropower sector-the primary energy source for everyday life in Nepal and a major revenue earner through energy exports-water storage includes mini and micro hydropower systems as well as large-storage hydropower and multipurpose reservoirs. In the environment sector, the importance of natural storage is recognised in policies and plans (e.g., rehabilitation and restoration of ponds and lakes and conservation of wetlands) but there has been insufficient incorporation in practice. The environment is still primarily viewed as a supplier of water rather than a legitimate user.