The reaction of O(D-1) with water and water clusters was re-examined. We monitored the nascent product state distributions in the reaction photo-initiated by the dissociation of N2O at 193 and 212.8 nm, and the corresponding photo-initiated intracluster reaction. The study at two different dissociation wavelengths and the use of D2O allowed us to obtain direct information on the effect of initial collision kinetic energy on the energy distribution in the product. Based on the new results obtained we conclude that the reaction of O(D-1) with water occurs through abstraction mechanism with a relatively short lived collision complex. In the case of the intracluster reaction, we have indication that more internal energy is deposited in the N-2 moiety, compared to the dissociation of an isolated N2O. In addition the results indicate that the reaction between the oxygen atom and the water in the complex involved the formation of a short lived collision complex, with a lifetime of probably only few rotations of OH.