A national agreement on water reform was reached in 1994 and the Council of Australian Government (COAG) agreed to a comprehensive water reform agenda that explicitly linked, for the first time, economic and environmental issues with a package of reform measures. The agreement focused on establishing water allocations and entitlements separate from land tenure, backed by secure access to water. It also provided for trading in water entitlements, making water available for ecosystems, as well as institutional reform, public consultation and education, and research. Based on the 1994 COAG agenda, there has been some progress across all jurisdictions, but much remains to be done if the goal is to meet the reasonable expectations of future generations. A strong commitment and ongoing cooperation of governments and stakeholders will be a key factor in sustaining and driving the momentum of groundwater governance reform. The continuing efforts on integrated water management, cross-border cooperation, improving irrigation practices and water use efficiency will be necessary to ensure improved productivity and environmental sustainability of water resources and secure access to water for all. A number of important lessons have been learnt by analysing the institutional reform process in South Australia, which can be applicable in Indian context too and these includes integrated water resource management, recognising the connectivity between surface and ground water systems, effectively balancing management of the environment and the need for certainty of access for water users, system of water markets and water trading, continual improvement of data and scientific information, and extensive public consultation for effective decision making.