Following IWA’s 2nd International Water Regulators Forum held in 2015 in London, three working reports were published as key outcomes of the Forum. This third working paper entitled ‘Fit for Purpose Regulation’, discusses the need for regulatory instruments to match specific policy targets. Furthermore, it suggests that the regulatory system as a whole needs to strike the right balance between integration and coordination and between consistency and flexibility along three dimensions: spatial, sectoral, and regulatory approach.