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This paper describes the 1998 Sydney crisis, which led to the reassessment of many of the elements of the water supply system. It very significantly affected public confidence. The use of bottled water increased markedly. In one survey, 72% of respondents thought that profit had been elevated above quality by the management of Sydney Water. It is likely that the former trusting relationship between Sydney Water and its customers will never return. Includes tables, figures, appendices.