The Government of Nepal has prepared the Water Resources Bill, 2083, a comprehensive 34-page legislative proposal aimed at amending and consolidating existing water resources laws to strengthen sustainable water management, environmental protection and disaster risk reduction. The bill proposes replacing the Water Resources Act, 2049, and establishing a legal framework for the equitable distribution and multipurpose use of Nepal’s water resources. A key provision prioritizes drinking water and domestic use, followed by irrigation and hydropower, while recognizing traditional community water-use rights. The proposed law would establish a Water and Energy Commission chaired by the Minister for Energy, Water Resources and Irrigation, responsible for preparing river basin plans, monitoring groundwater resources, conducting water audits, reviewing water-use permissions and overseeing dam safety. It also defines responsibilities among federal, provincial and local governments, including provincial jurisdiction over electricity generation projects above 5 MW and up to 25 MW, and local jurisdiction over projects up to 5 MW, subject to additional provisions for projects crossing administrative boundaries.

A major environmental provision requires projects with dams to maintain a continuous environmental flow of at least 15 percent of the average monthly minimum river flow or the amount recommended by an environmental assessment, whichever is higher, throughout the year. The bill also proposes stronger restrictions on river pollution, unauthorized extraction and construction in environmentally or culturally sensitive water bodies. It provides for groundwater monitoring, conservation and artificial recharge, allowing authorities to restrict or suspend groundwater extraction in areas facing excessive depletion, contamination or environmental damage. The proposed framework further requires river basin master plans, sectoral water-use plans, water accounting and annual water audits to improve resource allocation and monitoring. Additional provisions address climate-resilient infrastructure, protection of natural springs and wetlands, flood and landslide risk mapping, glacier and glacial lake hazards, and accessible early warning systems.

The bill introduces extensive dam safety and operational requirements, including mandatory monitoring equipment, hydrological and seismic observation systems, flood and dam-break early warning mechanisms, emergency response plans and designated dam safety units. Dam operators would be required to conduct at least two inspections annually, before and after the monsoon, while independent expert groups would undertake comprehensive dam safety assessments every five years. The legislation also calls for stronger public consultation throughout project development, protection of traditional water sources and compensation mechanisms for affected communities. Under the proposed jurisdictional framework, water bodies would be classified according to their size and river-basin characteristics, with federal authorities responsible for major rivers, glaciers, glacial lakes and large wetlands, while provincial and local governments would oversee medium and smaller water resources. The bill’s final-page map illustrates the proposed classification of Nepal’s river systems using the Strahler stream-order method to distinguish federal, provincial and local jurisdictions.

To enforce compliance, the bill proposes fines ranging up to Rs 1 million and imprisonment of up to 10 years for serious water-related offences, including certain violations involving restricted groundwater use, prohibited construction, damage to dams or water infrastructure, and severe alteration of river systems. Unauthorized water use without the required commission consent could attract a fine of up to Rs 500,000, while water pollution could result in a fine of up to Rs 100,000, imprisonment of three months to one year, or both. The proposal also provides for compensation to parties suffering losses from violations and establishes procedures for legal proceedings and appeals. The document is a draft bill, not an enacted law; its regulatory requirements, institutional arrangements, penalties and proposed repeal of the Water Resources Act, 2049, would take effect only following legislative approval and commencement procedures. The bill specifies that, if enacted, it would come into force on the 91st day after authentication.