What ever happened to water pipelines and pumping stations?
Well, in Australia, vineyards have noticed a rise in ground water level from all their watering. Unfortunately for them, the ground water tends to be on the salty side.
I think they've gone to minimizing water usage via more direct targeting of vines. I don't believe the article that I read mentioned any barrier methods.
However, it's a tool. And yes, besides unexpected side effects, I'm sure any harm in crop quality and/or production with be magnified by solons and bureaucrats mandating it for use where it's not either needed or useful.