In Lake Ziway watershed in Ethiopia, the contribution of river inflow to the water level has not been quantified due to scarce data for rainfall-runoff modeling. However, satellite rainfall estimates may serve as an alternative data source for model inputs. In this study, we evaluated the performance and the bias correction of Climate Hazards Group InfraRed Precipitation (CHIRP) satellite estimate for rainfall-runoff simulation at Meki and Katar catchments using the Hydrologiska Byråns Vattenbalansavdelning (HBV) hydrological model. A non-linear power bias correction method was applied to correct CHIRP bias using rain gauge data as a reference. Results show that CHIRP has biases at various spatial and temporal scales over the study area. The CHIRP bias with percentage relative bias (PBIAS) ranging from −16 to 20% translated into streamflow simulation through the HBV model. However, bias-corrected CHIRP rainfall estimate effectively reduced the bias and resulted in improved streamflow simulations. Results indicated that the use of different rainfall inputs impacts both the calibrated parameters and its performance in simulating daily streamflow of the two catchments. The calibrated model parameter values obtained using gauge and bias-corrected CHIRP rainfall inputs were comparable for both catchments. We obtained a change of up to 63% on the parameters controlling the water balance when uncorrected CHIRP satellite rainfall served as model inputs. The results of this study indicate that the potential of bias-corrected CHIRP rainfall estimate for water balance studies.

Applicability of satellite rainfall products must be explored since rain gauge networks have limitations to provide adequate spatial coverage. In this study, Climate Hazards InfraRed Precipitation (CHIRP) satellite-only product was evaluated for rainfall-runoff modeling whereas the simulated runoff served as input to simulate the water levels of Lake Ziway from 1986 to 2014. CHIRP dataset was bias-corrected using power transformation and used as input to Hydrologiska Byråns Vattenbalansavdelning (HBV) model to simulate streamflow of Meki and Katar catchments. Results showed that gauged catchments of Meki and Katar contributed 524 and 855 mm to the annual lake inflow, respectively. The estimated runoff from ungauged catchments is 182 mm that amounts to approximately 8.5% of the total lake inflow over the period 1986–2000. The results of lake level simulation show good agreement from 1986 to 2000, but deteriorating agreement after 2000, which is mainly attributed to errors in water balance terms and human-induced impacts. For the period 1986–2000, the water balance closure error for the lake was 67.5 mm per year, which accounts for 2.9% of the total lake inflow from rainfall and river inflow. This study shows bias correction increases the applicability of CHIRP satellite product for lake water balance studies.