Towns across New South Wales are investing millions into water security, but is it enough?

Sewage from the town of Goulburn is being recycled for use on local parks and green spaces. (ABC News: Hugh Hogan)

Across New South Wales, councils have spent millions of dollars to diversify their water sources in a bid to safeguard against future drought events.

During the last drought more than 50 towns across the state came within months of running out of water, leading to the push in wastewater recycling schemes.

In Goulburn in the Southern Tablelands, the council has installed an irrigation system that makes use of recycled sewage to irrigate parks and green spaces in a move to take pressure off the drinking supply.

Marina Hollands from the Goulburn Mulwaree Council said the reuse irrigation scheme was made possible by a $33 million upgrade to the sewage treatment plant.

"Goulburn has traditionally struggled with water security issues, particularly during drought times."

The recycled water can be used on green spaces or for industrial uses. (ABC News: Hugh Hogan)

"So council had the foresight to look at the highest-quality possible [treatment plant] so we could use this effluent for industrial purposes or for reuse onto fields," she said.

Goulburn Mulwaree Mayor Peter Walker said that in the past water security issues had frightened some businesses away from the town.

Mr Walker says it's a game changer for water security. (ABC News: Hugh Hogan)

But with a reliable source of industrial water, the council will be able to attract more businesses to the region.

"It's cost effective, it gives us a good feel as far as recycling and reusing, and I think it's an outcome that's really just a win-win for the whole community."

Recycled water a 'saviour'

Further west at Parkes, the town's golf club has been using treated wastewater for more than 20 years.

Club president Mark Kelly said the system helped the club get through many dry times during the past two decades.

During the last drought the council opened a $27 million sewage treatment plant to expand the reuse scheme, which so far has saved 185 megalitres of drinking water a year.

Last year, the council also purchased a nearby irrigation farm to shore up the town's water supply.

The Parkes golf course has been using recycled water for more than 20 years. (ABC News: Hugh Hogan)

Is it enough?

Professor of Economics at Australian National University, Quentin Grafton, said diversified water sources were becoming more cost effective as regional areas face the prospect of increasingly variable weather with climate change.

Professor Grafton said a reliable water supply was a basic human right and all options needed to be on the table.

He said while progress has been made, many areas of the state are still vulnerable to water supply vulnerability.