Dams in Victoria are primarily built for water supply and irrigation purposes. Most large dams are owned by water corporations who have obligations to ensure reliable supply of water. They are also responsible for the safe operation of their dams.

Dams have not been specifically designed for flood mitigation although they can sometimes be drawn down to reduce the impacts of flooding when the reliability of water entitlements is not compromised.

In extreme flood events, dams cannot hold back the massive volumes of water that flow into a reservoir. When the capacity of the reservoir is exceeded, dam spillways come into operation and allow the  floodwaters to continue downstream. Dam spillways are designed to allow extreme floods to pass through the reservoir without compromising the dam structure, thereby reducing the potential for dam failure and any subsequent impacts on downstream communities.

After flood events, water corporation and local government dams are generally inspected and assessed for any damage that may have been caused by the flood.