Waterlogging and salinity due to seepage from canals have polluted land and environment in various parts of Pakistan. A sustainable environment requires urgent remedial measures for this problem. The research in this paper presents the impacts of the Fourth Drainage Project, Faisalabad on the twin problem of waterlogging and salinity. Monitoring of the project was made on regular basis. The key performance indicators for the project include the lowering of water table, improvement of water quality and soil salinity, increase in area under cultivation, cropping intensity, and socioeconomic status of the project population. Data regarding water levels and discharge from the drain pipes were collected to monitor the impact on waterlogging. Soil samples were tested to evaluate the impact of drainage on land. It has been found that the percentage of the contaminated land in the project area has considerably been decreased, while the cropping intensities have been increased.