Water being most precious resource is not managed by the consumers and suppliers of water in an efficient method. Water and economic life cannot be separated. It is required for production of food as well as the production of raw material for our shelter, and for so many daily use items we are dependent on including clothes. This year agriculture is feeling the pain of less than normal rains. It is a significant reason for concern as water resource is depleting and getting polluted. This paper deals with the present water situation in India, prevalent water stress in the country and privatization of water debate. The paper attempts to look at the legal structure in the water sector in India, from the first draft laws in quite a while to ensuing laws of corrections and augmentations. There is a need to build up an option socio-legal talk and practice where concerned specialists genuinely utilize logical resources just as natural information on water resources management and individuals' battles for water resources management as basic freedoms investigation to consider.