Senator Xenophon pointed out that just over a year ago that South Australian premier, Mike Rann, said the national water agreement was a stunning result for south Australia but he was "stunned" because "we're running out of water".

He said a national takeover of the entire MDB was needed now.

"Lets not mince any words here," he said. "South Australia is being shafted by the Eastern States.

"We need a full federal takeover because we can't trust the Eastern States to ensure that we have enough water in South Australia."

Senator Xenophon acknowledged there was very little water throughout the basin, and said over-allocation needed to be urgently addressed.

"If there is a full federal takeover you won't get the other States auctioning off water rights or reviving dormant licences, which is the worst thing we could do right now with the crisis facing us.

"There is no cohesive approach, you have state squablling.

"If we want to deal with this as a nation there must be a national takeover because we can't trust the States to do the right thing by the river system and South Australia."

He said the effects of the current water crisis in the basin were being felt hardest in South Australia.

"South Australia is bearing the brunt of years and years of mismanagement," Senator Xenophon said.

The Senator agreed with calls to wean Adelaide off the MDB, pointing to a $200 million package he negotiated for a storm water harvesting initiative in the southern capital.