Water resources regime in Kumaon Himalaya is a product of its specific environmental conditions. Major river systems, lakes along with a plethora of streams and springs are the main sources of water in this region. In pre-colonial Kumaon, communities took pride in their water systems and the local communities had the right of ownership over the use of local natural resources. They managed their water bodies on their own and this gave birth to a unique water harvesting civilization. Water was revered and regarded as sacred as is evidenced by the exquisite ornamentations and architecture of the structures around water bodies. An amazing aspect of these structures and systems is their longevity. But the colonial intrusion disturbed the community mode of management and gave precedence to private and state property rights over common property rights. The situation did not change even after Independence. The paper throws light on the water harvesting methods and the linkages of water with forests. It also focuses on the watershed approach for managing water resources in the present scenario.