The regional distributions of evaporation and precipitation were investigated on the arctic tundra on Axel Heiberg Island, Northwest Territory, Canada, during the summers of 1969 and 1970. The measurements were made using small weighing lysimeters and Canadian standard rain gauges installed at eight locations ranging in altitude from the sea level to 800 m above mean sea level. The mean evaporation rate for the snow‐free period increases slightly with altitude. The total evaporation for the snow‐free period at high altitudes, however, is cut short due to the longer duration of the snow cover. Consequently, the total summer evaporation shows a maximum value in the altitude zone between 100 and 600 m. Summer total precipitation increases steadily with altitude, exceeding evaporation at about 500 m. Below this altitude, most of the annual runoff takes place during and immediately after the melt of the winter snow cover. At higher altitudes, runoff is observed throughout summer.