The invention discloses a method for increasing regulation storage and generating compensation benefits of a high-dam leading reservoir. According to the method, a 
water turbine and difference of dynamic water generating of a 
water diversion system and a safe waterhead of still water retaining are adopted, a new limit 
dead water level is set below an existing 
dead water level of the reservoir, the regulation storage and the available 
water supply in the 
dry season can be increased, and the generating benefits of all downstream 
hydropower stations are increased accordingly; a hydraulic 
turbine set and a corresponding 
water diversion generating 
system which are suitable for operation of the limit 
dead water level and the original dead 
water level are additionally arranged, and the generating benefits of the 
hydropower stations are increased; the newly increased available 
water supply in the 
dry season enables other weepage water channels of the 
hydropower stations to 
discharge; after the limit dead 
water level is additionally set, the function of emptying the upper layer 
water storage is achieved as well. According to the method, the direct 
water supply generating benefits are remarkable, national 
energy security is facilitated, and the grid 
electric energy quality is promoted beneficially; meanwhile, the method has the advantages that the proportion of utilizing the 
clean energy and 
renewable energy sources is increased, the utilization efficiency of 
water resources is improved, and environment protection is promoted.