Municipal waterworks services in Surabaya City are considered inadequate and have caused many public complaints. To change this situation, innovation in government services is needed. The innovation provided must be in accordance with customer conditions and complaints. Municipal waterworks, which are regionally owned enterprises, are closely related to local governments; that is why governance innovation is needed. This study aims to describe innovative governance in Municipal Waterworks Surya Sembada Kota Surabaya. This study used the qualitative descriptive method. The subjects of this study were 5 Surabaya City people who were users of Municipal Waterworks Surya Sembada Surabaya services and 3 employees of Municipal Waterworks Surya Sembada Surabaya. The object of this study is the quality of services. Data collection techniques included interviews and documentation that is analyzed descriptively. Interviews were conducted about efficiency, effectiveness, conflict, orientation, and decision-making in providing services. The results obtained from this study show that Municipal Waterworks Surya Sembada Surabaya City has carried out innovative governance consisting of digitalization of services and work systems. Municipal Waterworks Surya Sembada Surabaya City uses the CIS (Customer Information System) application to make it easier for customers to report, pay, and register new installations. Innovative governance of Municipal Waterworks Surya Sembada Surabaya City has met eight indicators, namely, increased efficiency, improved effectiveness, improved service quality, no research conflicts, public interest orientation, carried out openly, fulfilled decision values, and accounted for the results. The human resources of Municipal Waterworks Surya Sembada Surabaya City are very competent but still experience obstacles in building communication with the community. The facilities and infrastructure of Municipal Waterworks Surya Sembada Surabaya City have met the standards, but additional transportation fleets are still required. Information technology of Municipal Waterworks Surya Sembada Surabaya City services has been maximized with the digitalization of services and work systems, but it is still constrained by applying for permits to local governments, which must be done manually and takes a long time. Keywords: service, innovative governance