A large dam, the "El Cercado", was first proposed in the 1950s in the Sierra Nevada de Santa Marta mountains, as an irrigation source for agribusiness and for the population of at least nine municipalities.

It was completed in the mid 2000s (picture)[3][4] The river flows down to a region of water scarcity in the semi-desert lowlands to the north and west.

Irrigation connections, aqueducts and a seven megawatts hydroelectric plant are programmed but there are significant accusations that they have been uncompleted due to corruption and mismanagement.

[5] On April 22, 2007, the Rancheria river flooded the municipality of Manaure in La Guajira after three or four days of continuous precipitation.

The Governor of La Guajira José González, was also present in the area and asked the national government for assistance and aid.