The Northwest Arid Region faces the most serious resource-based water shortage in China, with challenges from engineering-, structural- and management-based water shortages. This water scarcity critically limits the socio-economic development of the region. Rational allocation of scarce water resources to achieve sustainable development of the ecological environment and economy has become a key issue in water resources research in the Northwest Arid Region. South-Central Ningxia, part of the Northwest Arid Region, exemplifies these challenges. This paper examines the urban and rural water supply projects in South-Central Ningxia. The current scheduling scheme focuses primarily on the distribution of water demand, with inadequate attention paid to water-quality requirements. Localized exceedances of water-quality standards indicate the existing scheduling scheme has failed to effectively control water-quality issues while ensuring water quantity. This study is the first to systematically evaluate the impact of the South-Central Ningxia Water Supply Project on water quality alongside field surveys and data analysis and propose an optimized scheduling scheme that addresses both water quantity and quality needs. The main findings are as follows: 1. Overall water quality is good, except for consistently high total nitrogen levels. 2. The optimized scheme significantly reduced total nitrogen levels, achieving a maximum reduction rate of 78.81%, and met all Class III standards.