In this study, the potential economic and hydraulic benefits of utilizing variable speed pumps (VSPs) in water supply systems are reported. A simple water distribution network simulation is carried out by EPANET and Bentley HAMMER models to examine variable speed operation. It was found that using VSPs could control and improve performance of the water distribution systems. Where the potential energy cost savings realized by installing variable speed drives is a significant value (about 20%), in addition the leakage reduces by 21% compared to constant speed pumps. Also, this approach can improve and control undesired and damaged surge pressures and water leakage resulting from the abnormal operation conditions accompanied by the fixed speed pumping.