Though the augmentation of the resource is possible everywhere, except in a few hydrogeologically unfavourable zones, covering entire country at a time during a given period with the available resources may not be feasible. Hence, the prioritization of zones is essential. In this endeavor too, the satellite data is useful in selection of areas based on the purpose for which water is required and the suitability of the site conditions. The problem villages having shortage of drinking water get first priority followed by and over exploited zones where crops are suffering from water or industrial production is affected due to shortage of water. Besides, satellite data help in the selection of suitable sites for construction of water harvesting structures. In our country, the IRS-1A/1B LISS-II data have been operationally used for identifying sites for construction of water harvesting structures apart from other soil and water conservation measures under a major nation wide project titled “Integrated Mission for Sustainable Development (IMSD) “covering 84 million ha and spread over in 175 districts.