Jason–good questions. Before the floods, better priorities and better allocations would have been sufficient. But now, the entire infrastructure must be overhauled because so much of it has been destroyed. New canals and pipes and dams will need to be re-built, but this time they need to be properly maintained instead of neglected from the start. In general, there needs to be more emphasis on demand-side solutions (revolving around better resource management and conservation) and less focus on knee-jerk responses on the supply side (such as recourse to large dams, which can be expensive and easily break down). I suggest you check out pp 20-24 of the book I edited on Pakistan's water crisis: http://www.wilsoncenter.org/topics/pubs/ASIA_090422_Running%20on%20Empty_web.pdf. It offers some recommendations that respond to your questions.