The Paraiba do Sul River Basin - shared by the states of Sao Paulo, Rio de Janeiro and Minas Gerais - experienced an unprecedented water crisis between 2014 and 2016, triggered by the worst drought ever recorded since 1931. This basin is strategic at national level for the intense activities but also for supplying around 90% of the metropolis of Rio de Janeiro and securing the water supply of the metropolis of Sao Paulo, both metropolises located outside the basin limits. This paper aims to identify and analyze the impacts of the 2014-2016 water crisis on the main water users of the Paraiba do Sul and Guandu rivers, which are regulated by the so-called “Paraiba do Sul-Guandu Hydraulic System”. We used the GTAOH / CEIVAP meeting records, hydro-energy generation information, official agency reports and scientific texts, as well as the application of questionnaires and interviews. The research found out that many problems were avoided due to the collective effort of emergency measures, but the drought has generated a water crisis with significant impacts on water users of the Paraiba do Sul and Guandu rivers. Above all, it became clear that it is necessary a new and proactive approach for drought management in order to move from reactive (crisis) management to risk management.