ABSTRACT\nThe water reservoirs in Pakistan face the problem of sedimentation. Particularly the Tarbela Dam’s water storage capacity is rapidly decreasing, since it construction in 1974. River floods in the summer season are common phenomena in the Indus River Basin. There are two hydro-climatic factors which cause occurrences of floods in the Indus River Basin - the melting of snow and the occurrence of south western monsoon rain during the summer season. The two factors coincides each other in the upper Indus River which results in high floods and as a result the Indus River pour a high discharge and sediment load into the Tarbela Dam every year. Total sediment load computed from daily mean inflow at Tarbela during the past 36 years (1974 – 2010) using Besham Qila Rating Curve is about 6540.38MST. The data of 2010 shows that gross and live storage capacities of the Tarbela reservoir has been reduced by 33.46 % and 31.55 % respectively as compared to 1974. The data of past 36 years (1969 – 2005), computed from daily mean inflow at Besham Qila shows that annually 203.00 MST sediments are being deposited in the reservoir and among which 200.44 MST (98.75%) are being transported during flood season. This study also found that the sediment influx is very high in the immediate upstream of Tarbela Dam. As the annual sediment inflow at Besham Qila is 203.00 MST while it is 153.70 MST at Partab Bridge and 154.00 MST at Barsin. This study also examined the river discharge, sediment processes, especially erosion influences during the floods in the Upper Indus Basin and investigated the effectiveness of the catchment and watershed management measures like the construction of small hydropower plants, sediment retention dams, check dams, and application of other measures in the upstream of Tarbela Dam to control the soil erosion rates and to retain the reservoir water storage capacity.