Although the implementation of Irrigation Improvement Project (IIP) in Egypt was associated with a big hope of water saving, the evaluation programme did not confirm such expectation, and there was no significant change in the water supply at the head of the improved command areas. This study aims to check the reasons behind the inability of IIP to save water by analyzing different water saving elements, and the ability of IIP to influence each element. The investigation included losses from water distribution system and the effect of IIP on irrigation practices and water use. The study illustrated that IIP has positively affected the conveyance losses. However, these losses were minor. The major losses were downstream the lifting points, where the contribution of IIP was limited. The study concluded that the achievement of water saving requires real change of water management strategies that could encourage the rational use of water.