Deputies vote to turn the quarry into the next reservoir while rubble and builders' waste will be dumped near the Longue Hougue reclamation.
Stone extraction at Les Vardes quarry on the west coast has stopped for now, as Ronez moves that work to Chouet.
But the firm is still using the quarry for crushing stone, so turning it into a reservoir is some years away.
Deputy Lindsay de Sausmarez told deputies they were voting for the long term provision of drinking water, but deputy Marc Leadbeater was unconvinced:
"There's certainly been no evidence we have a water storage crisis.
"We have a housing crisis, we admit that don't we, we know that.
"But we haven't had a hosepipe ban since I was a kid."
In a separate vote, following a successful amendment by deputy Mark Helyar, who also questioned the need for such storage capacity, inert waste will be dumped at Black Rock.
This is an area of the South Side of the Bridge, near to the northern end of Longue Hougue and its use here will help the regeneration of the Bridge by providing land.
In the meantime, rubble and builders waste will continue be stockpiled.
Storm Ingrid halts Guernsey charity sleep-out
New plans aim to improve reliability and efficiency of Guernsey’s buses
A 3D map of the battleship Bismarck is created by a Guernsey-based company
Timeline established for government to buy Sark Electricity
Channel Islands Air Search aircraft returns to service
New support group for Guernsey mums returning to work
Guernsey woman recognised for growing women’s golf
Deputy breached confidentiality terms of Guernsey Police complaints review
