Aliyar Reservoir is built across Aliyar River mainly for irrigation purposes near Pollachi in Coimbatore District, Tamil Nadu. Although, it is a small reservoir, the dam offers some fascinating getaways including a park, an aquarium and a mini Theme Park - all maintained by Tamilnadu Fisheries Corporation. The dam is situated on the foothills of Valparai, in the Anamalai range of the Western Ghats.

The Aliyar Dam was constructed between 1959-1969. At present, the discharges are being let down through three sets of slucies or canals, namely the Pollachi Canal, Vettaikaranpudur Canal and the river slucies. The project was sanctioned in September 2002 to generate Hydro Electric Power. Under this Aliyar Reservoir scheme, the irrigation discharges were let down through river slucies of the Aliyar Dam and are proposed to be utilized for power generation in a power house, which is planned to be located at the toe of the dam. Being a micro hydel scheme, Aliyar Reservoir project is supported financially by the Ministry of Non-conventional Energy Sources of Government of India.

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