The present invention relates to a system and method for managing water or other fluid that provides monitoring and reliable control of the use of water or other fluid in a given territorial area, facilitating the management of water use or other fluid in processes where it is involved, for example in tasks of irrigating agricultural land or in industrial processes using fluids such as leaching. The system and method of the invention operates on the basis of a distributed monitoring and control logic implemented to control and monitor a hydraulic system located in the given territorial area by an arrangement of sensors, actuators and controllers deployed in communication with a network of nodes that allows a user to monitor, control and automate the use of water in that territorial area, reducing to almost zero user intervention in the process of monitoring and control to almost zero.