Measuring the performance of water users' associations (WUAs) is a complex task. Literature associates a large number of parameters with their success and failure. This paper presents an in-depth study of two WUAs that are considered to be functioning well by the irrigation department in Anand, India. It discusses some new issues and innovations being tried out in Anand, namely: (1) incentives and disincentives for WUA membership; (2) outsourcing of irrigation service fees (ISF) collection by the WUAs; and (3) expansion of the scope of WUA activities beyond irrigation, with a potential impact on financial viability. The paper discusses degrees of success in WUAs in this context and tries to draw out lessons that may be widely replicable.