Maharashtra police arrested Telugu Desam Party supremo N Chandrababu Naidu and 80 of his partymen on Friday while they were trying to visit the Babli dam site.
Naidu launched a "Bus Yatra" to the Babli dam site, where Maharashtra government is building 14 dams on the Godavari, to highlight the "hijacking of Andhra Pradesh's share of waters by Maharashtra".
Farmers from five districts of Telangana have been agitating against the height of the dam for over a year, since it may limit the water flow into the Sree Ram Sagar dam that provides irrigation water.
Naidu and his entourage were arrested when they crossed the state border and entered Maharashtra. They were not allowed to travel to the dam site that is 15 km away.
"We are not seeking bail. We will not leave this place till we are allowed to travel to Babli," LVSRK Prasad, chairman of the TDP's media cell, said.
Earlier, Naidu said Maharashtra government violated the SC order by going ahead with the project and that Karnataka was doing nothing to stop it.