The all-rounder was dropped for the third Test along with Mitchell Johnson, James Pattinson and Usman Kawaja after they failed to give feedback on how the Baggy Greens could improve on their heavy defeats in the first two Tests.
Cricket Australia high performance manager Pat Howard questioned Watson's commitment to the team following the suspension. However, Ponting has dismissed Howard's claims.
"Shane worked as hard as anybody around at his cricket, there's no doubt about that," Sky Sports News quotes Ponting as saying.
"He's obviously made a blue here - I don't like to refer to it as homework because it wasn't homework - not getting his tasks done that were given to him by the coach.
"I've never known him to be anything other than a very good team player and a great bloke to have around your team. I loved every moment that I played with Watto."
Watson is currently considering whether to make himself available for the fourth Test, after attending the birth of his son in Sydney this week.