The growing demand for sustainable water management and efficient irrigation systems has underscored the importance of durable and long-lasting canal lining materials. Conventional concrete linings often suffer from issues such as cracking, abrasion, water seepage, and reduced service life, especially in regions subjected to harsh environmental and hydraulic conditions. This study focuses on the development and performance evaluation of High-Performance Fiber-Reinforced Concrete (HPFRC) specifically designed for canal lining applications. The primary objective of this research is to enhance the mechanical properties, impermeability, and crack resistance of canal lining materials by incorporating various types of fibers—such as steel fibers, polypropylene fibers, and hybrid combinations—into high-performance concrete mixes. The investigation includes a comprehensive analysis of the workability, compressive strength, flexural strength, tensile strength, water absorption, shrinkage, and erosion resistance of the developed concrete mixes. In addition, a comparative study is conducted between conventional concrete and HPFRC under simulated field conditions, including wet-dry cycles, thermal variations, and flowing water erosion. The findings of this research are expected to demonstrate that HPFRC offers significant improvements in structural integrity, service life, and impermeability, making it a superior material for modern canal lining projects. The study also discusses the economic and environmental feasibility of using fiber-reinforced high-performance concrete on a large scale, with potential benefits in water conservation and reduction of maintenance costs. This work aims to provide a scientific basis and practical guidance for engineers and policymakers involved in the design and construction of durable and sustainable canal infrastructure, especially in water-scarce and agricultural regions.