To guarantee protection from storm floods in the southwestern part of the Netherlands, the length of exposed coastline is being greatly reduced by the construction of dams and a storm surge barrier. As part of the Delta Project, the mouth of the Grevelingen estuary was closed in 1971. Due to the closure, tidal movement was eliminated, which resulted in changes in environmental factors such as transparency and chloride and phosphate concentration. The number of plant and animal groups decreased. Large areas of sand flats and salt marshes, which were formerly exposed to the tides, were left “high and dry.” This resulted in enormous changes for the communities living in these areas. The development of a new ecological system and the changed potential afforded by the water and land areas for human use, emphasized the need for physical planning. The potential uses (functions) of the new system are discussed in this article. Special attention is given to the demand for recreational facilities and nature conservation and to the balanced realization of these main functions. The methods applied in choosing between alternatives in physical planning are explained. Water quality and ecosystem management are discussed. One of the main management objectives is the prevention of a further decrease in the chloride concentration and the number of species. A sluice was, therefore, put into operation in 1978, by means of which water was exchanged between the North Sea and Lake Grevelingen. The responses observed are discussed here. In the near future, a crucial decision will have to be made: Will Lake Grevelingen remain a salt-water lake or will it become a fresh-water lake?