being 2 711 billion m³ from surface and 829 billion m³ from groundwater; respective withdrawals have been estimated at 425 billion m³ and 86 billion m³. Water availability is unevenly spread over the country and China is prone to both floods and droughts. The north and northeast have over 40% of the population and 60% of the cultivated land but only 15% of the water resources. Added to this are concerns about groundwater mining from the North China Plain aquifer, an important grain-producing area and source of water for several major cities; were it to fail the consequences could be catastrophic (World Bank, 2001). Agriculture accounts for some 73% of water use, with 10% domestic and 17% industrial. The growth in irrigation needs is 0.5% as compared to 5% for non-irrigation needs. Of the total water consumed, 80% comes from surface water sources and the remainder from groundwater and reuse. Of particular concern are the shortage of water supply in some 600 cities, mostly located in the economically important northern part of the country, and water pollution. Already some 400 cities face water shortages, mostly due to environmental pollution (RFA, 2005), and some 600 million people risk drinking contaminated water. The total shortfall has been estimated at 6 billion m³ (Jingrong, 2004). Beijing, for example, has experienced difficulties since the 1970s, with predicted shortages of up to 1.64 billion m³ (annual rainfall 10 billion m³ by 2010. The city has recently been considering new sources up to 1 000 km away, together with further development and control of local surface and groundwaters, and a lot of new small and local interception dams. This will also help with water reuse for irrigation. In addition, some 2.45 million m³ of drainage from urban areas is seen as a potential for reuse following treatment. Locally, water saving measures and storm water storage is being introduced into the city (Nie and Schilling, 2000). In 2002, per capita consumption in urban and rural areas was 219 1/h/d and 94 1/h/d, respect