The project area comprises the urban watershed of Phewa Lake. The watershed area of Phewa Lake includes Dhikur Pokhari, Kaskikot, Sarangkot, Chapakot, Pumdi Bhumdi and Bhadaure Tamangi Village Development Committees in rural areas and wards no 1, 2, 3, 4, 5, 6, 7, 8, 9 and 17 of the Pokhara Sub-metropolitan City (PSMC). The present project primarily covers ward no. 1 to 9 and 17 of PSMC.

The entire project area is located within the PSMC in Kaski District, Western Development Region of Nepal. The total urban watershed area is estimated to be almost 4 square kilometers with the total population of 46,029.

Ward 1: With total ward area of 120 hectares, 36% of the total area is occupied by Institutional area; 27% by Steep riverbanks, flood, plains and river. Residential area occupies 29% of the total ward area and the rest 8% is vacant (Land Use Concept Plan, July 2000). District Education Office (Bhimbazar), District Forest Office (Bhimbazar), Sectoral Forest Office (Bhimbazar), Nagar Bikas Prasischan Centre and the Ward office in the Tudikhel are the Governmental offices in this ward.

Ward 2: The famous Bindabasini temple lies in this ward. Some part of this ward is covered by Bus-park area. 30% of the ward area is covered by Agriculture, 45%by residential area, 5% is covered by forest area and 26% is vacant area (Land Use Concept Plan, July 2000).

Ward 4: District Police Office (Gairapatan), Nepal Rastriya Bank (Mahendrapool) is the major Government Offices in this ward. Although being a highly urbanized ward with 52.5% residential, still substantial parts are vacant land (39.5%) or agricultural (4.5%). The phirke khola claims to be 2% of the area while there is still a small part of the Baglung Bus Station (1.5%).

Ward 5: Ward 5 is still mainly a rural with residential reaching only 30%. The institutional part with the Radio Station, Horticulture farm, the nursery, the regional agricultural directorate and the electricity authority accounts for almost 15%. The forest, pond and Phirke/ Bulaudi khola and open space/ residential area accounts for another 8%, leaving gardens and agricultural land with the bulk of 47%.

Ward 6: With 70% residential use the area seems highly urbanized. The royal palace, the lake temple and fisheries complex and the district court/ police station cover some 7% while park and open space/ recreational together with the Phirke khola add another 10%. Expansion is still possible in gardens/ vacant land and agricultural land 13%. The lake itself has not been included.

Ward 7: With the airport claiming 23% and institutional 15%, the ward is still substantial residential (55%), be it with low to moderate densities. Open space, Phirke and Bulaudi Khola and an agricultural piece of land account for the remaining 7%. Over eighty percent of the government offices of the Pokhara Sub-metropolis city lie in this ward. Land Reform Department, Land Revenue Department, Survey Branch, Metric Measurement Department, Salt Trading, Jail, District Administrative Office, Regional Police Unit Office, Public Service Commission, Appealate Court Pokhara are few Government offices located in this ward.

Ward 8: Together with ward 9, ward 8 is the developing new center of Pokhara Sub-metropolis. The Pokhara Sub-metropolis office is in New Road. Residential including commerce covers 78%, institutional and hotels have just over 2.5 and Phirke khola and open space just over 1.5%. Adjacent to the Phirke khola, gardens and vacant land still offer extension opportunities (18%).

Ward 9: The half Eastern region of this ward is sloped to the Seti River. Hence more than half of its pollution is directed to the Seti River. This ward is also included in the Study area because it lies in the Watershed area of the Phewa Lake. With the airport, the regional bus station (11.5%) and institutional (16%) a large chunk of this ward has already a fixed land use. The Seti River bank and flood plain including park/ recreational area account for 15% and 8.5% for garden/ vacant land. This leaves almost half (49%) for settlement. More than half of the wards waste, sewage and storm water flows to the Seti River. Because Seti River lies just at the eastern periphery of the ward boundary and eastern part of this ward is sloped towards this river. All solid waste is dumped haphazardly at the upward bank of the Seti River. The western region from the Naya bazar contributes pollution to the Phirke River.

Ward 17: With 59.5% agricultural land vacant land, ward 17 is still largely rural, but faces strong urbanization pressure. A number of institutional facilities as the eye hospital, two SOS schools, the Tibetan Refugees camp, the mountain museum, the police barracks and public works plant and a gravel/ stone-mining site, account for 7.5%. Riverbanks and flood plains, together with open space cover 20%, leaving only 13% for residential. Being located at the southern part of the Phewa Lake, only few percent of the wards pollution is contributed to the Phewa Lake.