At least according to this Canadian it is:

SYDNEY’S dwindling water supplies could be limited to drinking only within three years, a Canadian expert has warned.

Water advocate Maude Barlow says she believes Sydney is in the running with Mexico City and Beijing to be the first city in the world to run out of water.

"My guess is that Sydney is going to hit the water wall in three to five years," she told the Seven Network.

"That doesn’t mean there won’t be any water but I think it will be reserved for drinking.

"I want to say to people in Australia you have a limited amount of time before you’re going to have to evacuate your country. I mean that."

Read Tim Blair’s posting on this, but this is about as alarmist as it gets especially when Sydney’s water storage is up by over 23% since the beginning of the year because of all the rain that fell this winter.  However, she is not my all time favorite global warming alarmist, that honor goes to Mr. There is No Snow.  He is going to be tough to beat, but I’m sure some other alarmist is going to try.