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The research in this paper was based on the project of water diversion from the Yangtze River to the Taihu Lake which significantly improves water environment of the lake and brings obvious economic benefits for surrounding areas. An analytical framework is developed on evaluating benefits of water supply to Huzhou city from project of water diversion from Yangtze River to Taihu Lake, including: (1) the value-added of water supply on the project are divided into four parts according to thedoi:10.4236/jwarp.2009.11009 fatcat:fy4irk6d7bacbckepxgmgienta