A lot of concern has been expressed about the harmful effect of Kalabagh Dam due to flooding of Nowshera town and rise of water table in Peshawar valley. It is feared that as a result of rise of water level due to ponding up at Kalabagh, the water level in Kabul river will rise due to back water effect, thus posing serious threat to the town of Nowshera and Peshawar valley. In this context it is pertinent to mention the Chinese experience of Sanmenxia reservoir constructed on the Yellow river in the year 1960. Due to acute sedimentation problem, this dam had to be redesigned and reconstructed within a short period of four years, because back water deposit extended up stream with remarkable rapidity endangering industrial and agriculture activities in the vicinity of the reservoir. The effect of sediment has extended for considerable distance upstream of the reservoir. The configuration of Kalabagh Dam is more or less similar to Sanmenxia dam and therefore we must take a lesson from the Chinese experience. Though it is not possible to forecast accurately the trend of siltation after construction of Kalabagh Dam, it is certain that a very high risk is involved which needs to be avoided. Moreover, geological experts have many reservations about the Kalabagh Dam site as it is located in an area with many geological faults, which may endanger the safety of the dam. Besides, the reservoir area is in close proximity of Khewra and Kohat salt ranges which will pollute the water causing high salinity, thereby affecting its suitability for irrigation.