Work is now underway to repair a mains pipe after about 800,000 litres of wastewater was spilled into Lake Taupō earlier this week.
However, local residents are still being advised to take extra caution when using water. That includes flushing the toilet as little as possible, taking shorter showers and reducing laundry loads.
A Taupō District Council spokeswoman said repairs to the wastewater main began this morning. The system was expected to be operating as normal within three weeks.
"The burst wastewater pipe remains sealed and wastewater is being pumped around the break at the bottom of Tongariro St so it can carry on to the wastewater treatment plant," she said.
The council still does not know why the water main burst, but it was being investigated.