The Gladstone Area Water Board was established in 1973 as Project Board under State and Regional Planning and Development, Public Works Organisation and Environmental Control Act 1971-73. It was specifically formed to assist the two local Authorities, Gladstone Town Council and the Calliope Shire Council in coping with the heavy financial demands being imposed on them in the early 1970's because of the continued need to upgrade the water supply system serving the area as a result of continued industrial growth.

On 1 October 2000 the Gladstone Area Water Board (GAWB) commenced operations as a Category 1 commercialised Water Authority under the Water Act 2000 and is responsible to the Minister for Natural Resources and Water.

GAWB's purpose is to ensure the long and short term water needs of current and future customers are met in ways that are environmentally, socially and commercially sustainable.

This is achieved by continuously planning for these needs and developing, operating and maintaining the infrastructure required in a sustainable manner, while minimising the impact its operations have on the environment.

GAWB endeavours to keep the community informed of its activities and plans through public consultation. GAWB also seeks to contribute to the community by providing exceptional recreational facilities at Awoonga Dam, a recreational fishery, and by providing sponsorship of programmes generally related to water and sustainability.