Pandoh Dam is situated in Mandi district and created by Pandoh Dam. The lake is the reservoir of the dam which has been targeted at the generation of hydroelectric generation. The lake diverts the water from River Beas and pours it into the River Satluj. The dam is under Bhakra Beas Management Board (BBMB) and the road built over the dam is a part of NH 21. The Beas water is diverted and through tunnels taken to Salapad (around 40 km from here)where water is used to generate electricity along with the water of Satluj.

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