Water is replenishable but finite resource. The annual overall availability of surface water in Orissa is about 85.59 billion m. The population of Orissa is 4% of that of the country, according to 2001 census. The State has 11% of the water resources of the country. The per-capita availability of water in 2001 was 3359 m. By 2051, it is likely to reduce to 2218 m . With increasing population and the consequential increase in demand for food and water and with the growth in mining and industrial activities, the demand for water from various sectors is likely to increase to 55 billion m.

Water scarcity affects all social and economic sectors and threatens the sustainability of the natural resource base. In addressing the issue of water scarcity, an inter-sectoral and multidisciplinary approach needs to be taken to maximize the economic and social welfare benefits of new policies. It is also essential to take into account development, supply, use and demand, and to place the emphasis on people, their livelihood and the ecosystems that support them.