The Queenstown Regional Council says the threat of flooding in Wanaka and Queenstown is receding, after heavy rain lifted the level of both lakes over the past week.
The council's duty flood manager, Nineva Vaitupu, said on Monday afternoon that with no rain over the past 12 to 15 hours, the danger of flooding has passed.
Lake Wakatipu rose to 3111.1 metres, just a whisker below the level of 311.2 metres, which would have caused it to flood Queenstown.
Mr Vaitupu says the council is monitoring the situation and checking forecasts to check if further rain is expected on Wednesday, which might lift the level of both lakes.
He says boaties have also been warned about debris washed into lakes Wanaka and Wakatipu from swollen rivers.
Floodwaters are also expected to swell local waterways and campers are warned to be aware of rapidly rising lake and river levels.