The water requirements for pumped hydro for seasonal storage is a lot less than for generation.
- pumped hydro reuses the water in a loop rather than sending it downstream like generation
- pumped hydro only needs to produce power a few times a year rather than 24/7/365 like generation.
Only if there is a very large lake at the bottom. If that lake doesn't exist then you have to build it at great cost. You also lose a lot to evaporation if you do this.