The aim of this paper is to describe an innovation in the monitoring of performance of earth embankments, namely the use of sensing systems for full-time monitoring of ash pond and irrigation pond seepages. In the past decades, due to IT development and cost reduction, the sensor technology segment and associated measurement and monitoring systems have started to expand rapidly. One of the areas of sensor technology suitable for real-time monitoring of earthen embankments is that of fibre optic distributed temperature sensors (FO DTS). This paper deals with the results of pilot measurements performed within the E!11705 FORMTES project in 2018 -2020, as related to the analysis of the existing FO DTS system installed in the irrigation pond in Spain, and on the new implementation of the FO DTS system in part of the embankment of the ash pond in Hungary, and the use of FO DTS systems for monitoring of potential seepage in above mentioned embankment structures. The evaluated pilot tests together with the desk review were used for the validation and enhancement of the novel methodology to enable its real-life implementation both for the existing embankment structures and the development of detailed designs of new structures of similar nature.