Walcha Shire Council is requesting local residents use care and discretion with the new water supply scheme.
The warning came after it was revealed that since Friday, when the water became available for public use, they used the supply at the rate of 490,000 gallons a day. This figure was almost the maximum the scheme could supply.
It was designed to cater for Walcha's needs for the next 20 years including an estimated population increase from its present 1700 to 2500.
On Friday 619,000 gallons flowed through those householders taps who had it connected, on Saturday 412,000 gallons, and on Sunday 444,000 gallons. The scheme should be using 340,000 gallons a day at a maximum - which is 200 gallons for each person per day.
Whilst it is realised that the town was experiencing a very dry dry period the present water usage was excessive the Shire engineer (Mr J Sheilds) said.
"Possibly this is because of the novelty of having a water supply and also the drought we are going through," he added. He said if water consumption continued at the present rate Council would be unable to meet the demand as further consumers were connected.
If this position arose council would have to consider imposing restrictions he said.