Bathurst Regional Council's latest reading, taken on Tuesday, found the dam to be at 35.2 per cent capacity, up 0.6 per cent from the previous week.

The increase came after more than 30 millimetres of rain was recorded in Bathurst over the previous seven days.

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There are also positive signs that the dam level could rise further over the next three months, with the winter climate outlook indicating above-average rain for most of Australia.

Weatherzone meteorologist Craig McIntosh said that forecast applies to Bathurst.

"It looks promising," he said.

"Bathurst is looking wetter than average, probably not going to be the wettest ever, but wetter than average for June, and the same again for July and August."

He said one of the main climate drivers for this would be the Indian Ocean Dipole, which will transport more moisture from the eastern Indian Ocean towards Bathurst.

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Although Chifley Dam is rising, and there is a promise of good rain in winter, mayor Bobby Bourke said water restrictions remain in effect.

"While it is great that the levels have risen by 6.7 per cent in Chifley Dam recently, we need to remember that the region is in the midst of a severe drought and that extreme level water restrictions are still in place. Lawn watering is not permitted," he said.

If and when council eases restrictions, it won't be triggered by the water level reaching a specific point.

"Council will continue to monitor a range of factors including the long range rainfall and temperature forecasts, rainfall, runoff, dam level, city consumption, irrigation demand, and the time of year to enable a carefully selected change to be implemented at the right time that will avoid the need for further regular changes," Cr Bourke said.

He said the "community has made a wonderful effort to conserve water", and it needs to continue.