With increase in population there will increase in stress on sanitation and waste water disposal system. It was predicted that recyclable wastewater will meet 15% of total water requirement in 2050. In water scarce environments, wastewater reuse and reclamation are often considered as a viable option for increased water resources availability. Equally, in water scarce developing countries, grey water reuse in household is proving to be essential alternate water resource to fresh ground, surface or rainwater supplies. The application of grey water reuse systems is therefore of particular importance, construction of bathrooms along with grey water structure in one selected panchayat of chandi village of Burhanpur district on pilot basis . Construction will be done with community contribution to ensure the proper use of structure and use of grey water in flushing the toilet, irrigation, kinder garden, the reuse of grey water reduce the fresh water requirement & reduces sewage generation. The process of construction is going on. The pilot project is supported by UNICEF- WFP (World Food Programme).