A two-wire controlling and monitoring system for irrigation of localized areas of soil includes a water pipeline, a plurality of controllable irrigation valves, a plurality of field sensors measuring specific irrigation parameters, and a plurality of localized irrigation control units. Each irrigation control unit has a sensor decoder connected to a specific field sensor and/or a line decoder connected to a specific controllable irrigation valve. The system further includes a controller and power supply unit that applies a first alternating DC voltage signal to a two-wire cable interconnecting the controller and power supply unit and the irrigation control units. The two-wire cable provides power from the controller and power supply unit to each of the irrigation control units, it transmits schedules of instructions to the irrigation control units through the two-wire cable, and it receives the irrigation parameters from the irrigation control units through the two-wire cable.