It's hoped there will be no need to boil water in Bingara beyond Thursday, after conditions have improved in the Gwydir River.
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Residents were advised on January 23 to start boiling or treating their water after council staff measured turbidity, or cloudiness, their treatment plant couldn't deal with.
That has now dropped and, after a meeting with NSW Health on Thursday, it's hoped people can go back to using water straight from the tap.
The alert was issued after "recent weather conditions and subsequent run-off in the Gwydir River ... caused problems with water treatment, making drinking water in Bingara unsafe."
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Town utilities and plant manager Andrew Cooper said that, after heavy rainfall, "the Gwydir river was very dirty and the turbidity of the water went from 10 to 225".
"At our water treatment plant, we couldn't quite get the turbidity to within our parameters," he said.
"As a precaution, Health advised us to put the boil-water alert on."
The problem also wasn't obvious - "you couldn't really tell with the naked eye" - making it even more important to notify residents, which the council did with a mailout and and social media alert.
Mr Cooper said that level had now dropped to 60-70.
Until the alert is lifted, though, people are still advised to bring water to a rolling boil to make it safe before drinking it, giving it to pets or using it for cooking.
"Kettles with automatic shut-off switches can do this," council general manager Max Eastcott said in a statement.
"Water should then be allowed to cool and stored in a clean container with a lid and refrigerated.
"Bottled or cool boiled water should be used for drinking, washing uncooked food (e.g. salad vegetables and fruit) making ice, cleaning teeth, gargling and pets' drinking water."
Other advice includes to wash dishes in hot soapy water or in a dishwasher; and pack children bottled or cool boiled water for school.