This study focuses on water budget management at the basin-level scale and proposes an innovative interlocked reward-penalty mechanism that links water budget enforcement with dual-control water-use indicators.A quantitative evaluation framework is established to assess the implementation of water budgets. The mechanism outlines responsible entities and operational procedures for administering incentives and penalties. By addressing the “water-saving incentive paradox”
this mechanism rigidly integrates water use efficiency with total consumption limits. The main content of this paper is helpful for enhancing the enforceability of water resource constraints. It also boosts the motivation for regional water-saving initiatives.