If I remove the skins from my water thats what I also get. Sure you have your water plain setup right? Or maybe you are not calling shader correctly. You should have 3 skins setup in your water plain through MED if your using waterdepth or just 2 is needed.
im using water.mdl from demolevel example, so the skins already attached to the water plane right? im sure because when i publish from WED, 2 others file (.bmp and .tga) are required when im using that water model..
