The Indonesian government has decided to move the State Capital (IKN) from DKI Jakarta to East Kalimantan Province. One of IKN’s visions is to build a smart, modern city that meets international standards. This paper examines the concept of smart city and smart water management (SWM) that will be applied to the new IKNs to build an integrated, sophisticated and sustainable clean water supply system. The method used was analyzing concepts related to smart cities and SWM applications in the world and Indonesia. Based on the results of the analysis of the abovementioned concepts, several conclusions were obtained, namely that an SWM support system is indispensable in water system management, leak detection, and water quality monitoring. Then, a smart water grid is used to develop control over water resources, infrastructure, and water discharge with high efficiency and sustainability. The flood early warning system must be utilized to minimize losses or victims caused by flood disasters. In addition, an online water quality monitoring system is needed to monitor water quality online and in real time. The integrated implementation of the smart city and SWM concepts described in the paper is expected to produce safe, healthy, and sustainable drinking water services.