This study is focused on the application of diversity index analysis in demography in the area of water supply for domestic purposes to achieve sustainability.Demographic analysis has received increasing attention despite its complexity and unresolved issues. Moreover, little is known in terms of the changing spatial differentiation patterns among distinctive communities. The study uses Nigerian population and housing census of 2006 data for 12 local government areas in Katsina Senatorial Zone, Katsina state. Shannon Diversity Index method is employed for the purpose of this study. The analysis bases on more diverse, diverse, and less diverse in terms of high and low quality water supply. The result shows that majority of local government areas in the zone are less diverse in qualitative water supply.