Taiwan lifted water rationing in some major cities on Tuesday after recent heavy rains caused by powerful Typhoon Noul helped ease its worst drought in over a decade.

The state water company had cut supplies to households, schools and businesses in northern Taiwan, including Taoyuan and parts of New Taipei City, for two days a week since April 8 following the lowest rainfall in nearly 70 years.

On water rationing days, locals had been forced to rely on water stored in large tanks, and adopted water-saving measures such as recycling water for gardening.

The government said it was forced to impose the measure as the water supply situation was "urgent", and the region's main reservoir, Shihmen Dam, was drying up and leaving a muddy crater.

But the dry spell was eased after Typhoon Noul skirted the island in recent days, causing downpours.

It generated around seven million tonnes of water to the Shihmen Dam on Tuesday, sufficient to supply one week's usage, according to the authorities.

"The rationing has been lifted as the water supply situation has improved due to recent rains... and the central weather bureau forecast the rainfall to return to near-normal level in June," the economics affairs ministry said in a statement.

The government has also called off water rationing which was scheduled to be launched in southern Kaohsiung city this week.

Results from the water rationing were better than expected, saving an average 176,000 tonnes of water a day, up from the original estimate of 116,000 tonnes, the ministry said.

The government last imposed water rationing and anti-drought measures in 2002 in Taoyuan and the capital Taipei, among other places.

At that time a number of car washes, saunas and swimming pools were temporarily closed after water supplies were suspended, while government agencies, schools and hotels were ordered to slash their water consumption by 20 percent.