Rural drinking water quality is anemergent issue in the State of Punjab. In response to healthconcerns related to children being exposed to metals in someregions, and reports of higher incidence of cancers in thestate, the department of drinking water supply andsanitation conducted blanket testing of all its water supplysources. The objective of this study was to systematicallyexamine the drinking water quality issue and providepractical guidance to the state on possible responses. Thestate’s commitment to addressing this issue is highlightedby its allocation of 59 million dollars for a component toimprove water quality through the Punjab Rural Water andSanitation Sector Improvement Project, financed by the WorldBank. While the study seeks to provide an analytical basisfor understanding the occurrence and impact of thecontamination, practical actions have been explored anddemonstrated to allow the state to begin actively managingthe water quality issue. The study is designed around threekey areas: understanding the problem; taking appropriateaction; and institutional sensitization and action. Thisreport is a first step toward understanding and managingwater quality issues in the state. It provides an analyticalbasis for moving forward and has demonstrated approachesthat have yielded valuable lessons for scale-up. The nextsteps are for the state to identify key actions and developdetailed action plans for implementation.