The Central Otago District Council yesterday announced the water in the area passed tests which meant it was safe to drink.
It advised residents of Omakau and Ophir to boil their water in late July following heavy flooding.
The water’s source is in the flood-prone Manuherikia River and often gets dirty which renders the water treatment process ineffective.
Central Otago Mayor Tim Cadogan said the constant boil water notices in the town were "unacceptable".
"This was an exceptionally long time and it emphasises that effort is needed to fix the problem," Mr Cadogan said yesterday.
Last month, he said the council would upgrade the area’s water by July next year.
It had looked for solutions for a long time, but had difficulty in finding a location for a new bore. If a new source could not be found, better water treatment would be required at a higher cost.
Omakau Ratepayers and Citizens Association chairman Colin Stevenson said it was "pleasing" the boil water notice had been lifted.
"That people don’t have to walk down to the school to get clean water."
The residents had dealt with these issues for decades, he said.
"We’re pleased the council has delivered and we’re looking forward to working with them in the future."
