Staff from the Papua New Guinea state owned water and sanitation provider, Eda Ranu, are on strike, and at one stage yesterday shut down the water supply.
The workers are protesting against government plans to merge Eda Ranu with Water PNG.
Eda Ranu provides water and sewerage services to Port Moresby whilst Water PNG does the same for other centres in PNG.
Our correspondent said workers are in fear of losing their jobs but the Minister for State Owned Enterprise, William Duma, has assured them that no jobs will be lost.
"We are mindful of job security and the rest of the issues that arise when these sorts of things happen, so we have made it very clear from the start there will be no loss of jobs. Expanding our services providing more efficient services."
Meanwhile water supplies had been restored to the capital on Tuesday afternoon.
The move came after directives from the board of Eda Ranu and deputy police commissioner, Jim Andrews, who said every citizen has a constitutional right of access to clean and safe drinking water and the actions of those involved in the shutdown were criminal acts.