Madduvalasa also supports important biodiversity, both flora and fauna. Given the perennial flow of water , the reservoir has developed into a habitat for diverse animals and plants.
Many birds have been spotted in the vicinity and Madduvalasa is of great interest to ornithologists and birdwatchers. Tourists can capture exotic birds on their cameras. Rare species such as Darter and large flocks of Tufted Ducks showing some morphological variance such as ducks with rudimentary tuft or without any tuft were observed here. In fact, the Nagavalli River mouth and its surrounding environs are ecologically sensitive areas and are nesting grounds of the endangered Olive Ridley turtles.
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