This paper focuses on the reasons underlying the continuing derogation of surface-water quality in Azerbaijan. Surface (river) water has been one of the main sources of fresh water. The major river systems used have their sources in neighbouring countries. There is, however, proven advantage of utilizing groundwater rather than surface water as a supply source for urbanized territories in Azerbaijan. The overarching reason being the greater natural protection of groundwaters from pollution relative to surface waters. An overview of water resources present and contamination problems observed is presented. A case for increased groundwater supply in Azerbaijan is presented as a solution to these challenging problems.