For anyone on PC who dislikes Morrowind's murky water there is a way to fix this very easily.
Taken from a helpful poster at The Summit:
Clear Water
First, as a security, make a copy of your (Morrowind.ini) and change it's name to (Morrowind.ini.original), so that later if you don't like the clear water you can call it (Morrowind.ini) again and put it back in the Morrowind folder.
To get the clear water
Open your Morrowind.ini file and about 1/3 down the way, you will see [Water] you must change the last 6 entries there.
from:
UnderwaterDayFog=2.5
UnderwaterSunsetFog=3
UnderwaterNightFog=4
UnderwaterIndoorFog=3
UnderwaterColor=012,030,037
UnderwaterColorWeight=0.85
to:
UnderwaterDayFog=0.10
UnderwaterSunsetFog=0.10
UnderwaterNightFog=0.10
UnderwaterIndoorFog=0.10
UnderwaterColor=012,030,037
UnderwaterColorWeight=0.45
I have not noticed any appreciable impact on my FPS (and I have a fairly primitive machine, albeit with a somewhat updated graphics card), and it looks beautiful. I also use Abbott's Water Life, so now my MW diving excursions are reminiscent of snorkeling trips in Belize and Cuba. I suppose some people might question the realism of the less murky water, but having snorkeled in the Caribbean, I can attest it isn't unnatural at all.
The other nice thing is since it just alters your .ini file, there is no need to worry about adding to your installed mod count
