Orange City is on level two water restrictions as the combined water storage level hit the trigger point of 60 per cent overnight.
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The last time the combined storage level of Spring Creek Dam and Suma Park Dam was 60 per cent was in April 2018.
Today Suma Park is at 50.71 per cent. Spring Creek is at 100 per cent with water flowing at a height of 97 mm over the spillway. Combined storage is at 60.05 per cent.
Orange Mayor Reg Kidd said previously, residents had lived with level two water restrictions regardless of how far above 60 per cent the storage level of the dams.
"I congratulate the whole city on getting us through this difficult drought," Cr Kidd said.
"Orange has been a leader in the state in terms of water saving and we have set a benchmark for other cities.
"I could not be more proud of how the whole city banded together to conserve our water, and stave off harsher restrictions."
He said saving water was "second nature" to people in Orange.
"We're heading into summer with a good amount of water in the dams so it is time now to ease our restrictions back to level two, the odds and evens system," Cr Kidd said.
"We have previously lived with the odds and evens system for over a decade regardless of how high the storage levels in the dam were above 60 per cent.
"Our independent modelling is showing steady increases in the combined storage for quite some time into the future."
Cr Kidd said the city needed to keep up the good work and use water "where we need to but be mindful about wastage".
"We still need to make every drop count but it's great that this summer we'll be able to reap the rewards of a well looked after vegie garden and the kids will be able to jump into backyard pools and the littlies will be able to splash about in those inflatable paddle pools," he said.
"After a tough year it'll be good to hear the sounds of summer."
Orange City Council's Infrastructure Committee Chair Jeff Whitton said the steps Council had taken in previous years to help secure Orange's supply had paid off.
"We would have been a lot worse off if we hadn't raised the dam wall four years ago and without stormwater harvesting or the Macquarie Pipeline," he said.
"The systems we put in place, along with the commitment to reduce water use from the community, has seen us through this difficult time."
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