This paper investigates whether theproactive involvement of local communities in the managementof groundwater can help build drought resilience, using thecase of the Andhra Pradesh (AP) Farmer Managed GroundwaterSystems (APFAMGS) project as an example. The 18-year projectwas implemented through seven districts of India’s AP andTelangana states. During this period, participatorygroundwater management (PGM) initiatives evolved from afocus on demand management to an emphasis on droughtadaptation as links between groundwater and climatevariability became increasingly conspicuous. This paper isbased on a review of existing studies, field visits to theregion, and interactions with communities and individualfarmers. The objective of APFAMGS was to promote sustainablegroundwater management by creating community awarenessthrough training, water planning, and alternative croppingchoices. The study concludes that PGM, as adopted inAPFAMGS, has a limited impact on groundwater levels in hardrock areas under conditions of marginally decreasingrainfall, greatly increasing net abstraction, andgroundwater dependency. However, the project improvedawareness that helped communities adapt to drought. Theconclusion is that to be effective in addressing droughtvulnerabilities, PGM must include policy interventions thatencompass incentive and regulatory mechanisms, andvillage-based institutions must be linked to governmentdepartments that manage groundwater.