The upgrade is part of GWMWater's 2018-2023 Water Plan, along with water upgrade projects at Ultima, Moyston and Kaniva and is planned to begin next year.

GWMWater Managing Director Mark Williams said an upgrade in water quality means a safe and reliable water source for businesses and residents in the town.

"A secure water supply will boost the liveability and future growth of our towns, opening up further opportunities for tourism in the region," he said.

"A fully treated drinking water supply means businesses will no longer need to rely on rainwater tanks or packaged water for drinking and food preparation; they can quickly and easily access quality water straight from the tap."

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Water will be sourced from Hickman's Creek and treated in line with the Australian Drinking Water Guidelines and will be designed to allow for a future connection to the East Grampians Rural Pipeline.

GWMWater will go to tender for a contractor to undertake works on a new water treatment facility at Elmhurst.

Pressure upgrades have been completed in Elmhurst with further mains flushing and pressure boosting to be carried out as needed when drinking water is being supplied.

GWMWater will be working closely with the Elmhurst Development Group to keep customers and the community informed as the project progresses.

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