Seepage losses from irrigation channels have widely been identified as environmentally critical for the resulting groundwater accessions and associated drainage problems. Seepage from irrigation distributation system causes waterlogging in the area adjacent to channels while simultaneously reducing the amount of water available for safe and productive use. In case of saline groundwater conditions, water lost to seepage ultimately turns as an irretrievable loss of valuable fresh water resource. Seepage from channels is a dynamic process that is complicated by a variety of factors; non uniformity of soil, water quality, sedimentation, erosion, soil permeability, fluctuating water tables and water levels in the canals and also periodic filling and drying up of the canals A reliable estimation of seepage loss quantities from canals become crucially important while evaluating performance of an irrigation channels and drainage scheme. Pakistan has one of the largest irrigation systems in the world. Irrigated area of Pakistan is 17.12 million hectares out of which 11.51 million hectares is being irrigated by the canal networks. The network of irrigation system consists of dams, barrages, link canals, distributaries, minors and watercourses. Lack of innovation in this system, according to economic and social changes, has not occurred since operation of this system. With the passage of time, degeneration in the century, old irrigation system has brought its efficiency down to 50 %. Mostly the canals are unlined and are being silted up due to the choking of the system day by day. Huge quantities of water are usually lost from unlined channels The US Bureau of Reclamation (1954) quoted by Kraatz (1977) reported that 37 % of all water diverted on 46 of its projects was lost in conveyance. Additionally, 23% was attributed to seepage and 14% to waste. Saran et al. (1967) stated losses of around 47% in irrigation canals in India, 33% to 60% in USA and 25 to 60% in Mexico. In Pakistan the individual canal losses range from 10% to 40% although these figures represent total losses including evaporation, wastage and transpiration. Although the reason for these losses are investigated by performing numerical model solutions for a series of examples with different conditions at the lower boundary of the aquifer no field tests are discussed so far according to the prevalent field conditions. This study is conducted in evaluating the different methods for seepage measurements from canals under flowing and non flowing conditions. Some other latest test techniques have also be discussed in this research study. A technical and cost comparison of different tests have been made using fuzzy logic technique, and the most suitable and precise test has been selected for seepage evaluation. Fordwah Eastern Sadiqia South (FESS) project area is located in Pakistan approximately 300 km South of Lahore in Bahawalnagar District in three places, namely, Bahawalnagar, Chishtian and Haroonabad. The original design water duty was 1.21 m3/sec per 1000 hectare, implying a cropping intensity of about 80 percent (40 percent in each season). With the improved supplies supplemented by sub-irrigation from shallow ground water, the cropping intensity has increased to over 130 percent. This has resulted in significant salinity and water logging problems in the area. The objective of the canal lining project is to reduce waterlogging and salinity through the reduction of seepage losses from the irrigation channels. The project targeted the minor channels with discharges of less than 2.83 cumec (100 cusec), and a total length of approximately 160 km (100 miles) is lined during the four years construction period. This paper describes the proposed canal lining systems installed in the project area both for the main production component and also for experimental purposes. An outline of the design approach is given with discussion on the difficulties in lining of the existing canal systems. Different seepage measurements techniques are also discussed with the most practical method selection. The use of geosynthetic lining materials is also presented including the expected benefits..