[2] The Serpentine Dam is an important water source because the Perth metropolitan area depends on it as a strategic water source, supplying on average 39 gigalitres (1.4 billion cubic feet) per year, with an additional 2 gigalitres (71 million cubic feet) from the natural flows into the Serpentine Pipehead Dam.

Others obtained water through shallow wells supplied from the aforementioned rainwater tanks, though they were filled for only a few months annually.

The first thing the Sanitation Commission did was to stop the use of cesspits and established four main drinking water supply sources; wells that were sunk into the ground, the roofs of houses and tanks preserving water, Lake Monger, Smith's Lake, and other lagoons at the back of Perth, the rivers and brooks supplied from the Darling Scarp.

They proposed that water would be sourced from a dam on Munday Brook at Carmel and Canning Mills in the hills, covering an area of 13 hectares (32 acres).

The combined population of Perth and Fremantle at the time was only 11,500 people, thus the scheme was to have the capability of supplying each person with about 140 litres (30 imperial gallons) of water daily.

This scheme proved to be significant as it paved the way for Perth to grow in response to the state's gold rush, and resolved the water supply shortage issues that they had been experiencing for over 50 years.

[5] It forms part of the Archaean Shield covered by open woodland and private land areas that have been cleared for rural and agricultural purposes.

This was an extremely low inflow rate compared to common flows of up to 100–140 gigalitres (3.5–4.9 billion cubic feet) per annum before the mid 1970s, just around when the rainfall decline started.

[7] In 2011, "water supplies in Perth and the South West ... reached critically low levels after almost a year with no significant rain.

The mining has significantly affected the northern Jarrah forest, including the Serpentine catchment as the mining process requires clearing forests, soil stripping in two layers, blasting of lateritic duricrust and finally removal of broken duricrust with the underlying friable bauxite.

In turn, existing pathogens can adsorb these soil particles and can potentially resist disinfection better, thus increasing the risk of contamination of the water in the catchment.

[3]: 13 The Munda Biddi Mountain Bike Trail passes through the north of the Serpentine Dam catchment area.

[3] The Western Australian Endurance Riders Association have held annual horse-riding events in the north-west side of the catchment.

[3] The Serpentine Dam is intended to go on supplying the Perth metropolitan area and other regions in Western Australia with drinking water.

With the varying seasons and likelihood of drier years into the future from rainfall reduction due to climate change, and as demand increases, the government of Western Australia, along with landholders will need to consider developing additional water sources on top of the current existing IWSS dams to meet future water demands.