Although, all social and economic activities rely heavily on the supply and quality of freshwater, the extent to which water resource development contributes to the economic productivity and social well-being is not usually appreciated. As population and economic activities grow, many countries are rapidly reaching conditions of water scarcity and are facing limits to economic development. Hence, water demands are increasing rapidly, with 70-80 percent required for irrigation, less than 20 percent for industry and a mere 6 percent for domestic consumption. The CRV of Ethiopia is a typical example of this situation. The CRV of Ethiopia forms a complex and vulnerable hydrological system. Being a closed basin, relatively small intervention in land and water resources can have far reaching consequences for ecosystem goods and services, and potentially undermines sustainable use of the area. Water resources of the CRV of Ethiopia are visibly over exploited mainly due to water extraction for irrigated agriculture resulting in a decrease water level of the lakes and rivers. Due to this over exploitation, the right to water of the population is being affected.