This dam confiscates water from the river Tawi and the water is then supplied to various parts of the hill station. Besides this the water is used for generating hydroelectricity. Chamera dam is constructed on the Chamera Lake, 35 kilometers away from Dalhousie. The Lake is deemed fit for water sports as aquatic beings present there are almost zero, which makes it suitable for water activities.
Paddle boating, sailing, rowing, kayaking are some well known adventure activities offered in this place. The Government of Himachal Pradesh has developed the facility of rides on this lake and some of the common rides are shikaras and house boat rides. One special characteristic of this place is the varying temperature. Days remain hot but the nights experience sudden drop in temperature.
Thus this dam is having multiple uses; it is water supplier to the entire region, it helps in generating hydro-electricity and it serves as a tourist destination.