Water recycling without purification is used in certain agricultural companies (e.g., tree nurseries) and dwellings for applications where potable water is not required (e.g., garden and land irrigation, toilet flushing). It may also be used in dwellings when the greywater (e.g., from rainwater) is already fairly clean to begin with and/or has not been polluted with non-degradable chemicals such as non-natural soaps (thus using natural cleaning products instead). This water system also needs a supply of water to recycle and reuses water as well. It is also not recommended to use water that has been in the grey waters filtration take for more than 24 hours or bacteria builds up affecting the water that is being reused. Water purification/decontamination systems then again are used for applications where potable water is required (e.g., to allow drinking, and/or for other domestic tasks as washing, showering).
Because greywater use, especially domestically, reduces demand on conventional water supplies and pressure on sewage treatment systems, its use is very beneficial to local waterways. In times of drought, especially in urban areas, greywater use in gardens or toilet systems helps to achieve the goals of ecologically sustainable development.
Wyoming allows surface and subsurface irrigation and other non specific use of greywater under a Department of Environmental Quality policy enacted in March, 2010. California, Utah, New Mexico and some other states allow true subsurface drip irrigation with greywater. Where greywater is still considered sewage, it is bound by the same regulatory procedures enacted to ensure properly engineered septic tank and effluent disposal systems are installed for long system life and to control spread of disease and pollution. In such regulatory jurisdictions, this has commonly meant domestic greywater diversion for landscape irrigation was either simply not permitted or was discouraged by expensive and complex sewage system approval requirements. Wider legitimate community greywater diversion for landscape irrigation has subsequently been handicapped and resulted in greywater reuse continuing to still be widely undertaken by householders outside of and in preference to the legal avenues.
It is now recognized and accepted by an increasing number of regulators that the microbiological risks of greywater reuse at the single dwelling level where inhabitants already had intimate knowledge of that greywater are in reality an insignificant risk, when properly managed without the need for complex, expensive and onerous red tape approval processes. This is reflected in the NSW Government Department of Water and Energy's newly released greywater diversion rules, and the recent passage of greywater legislation in Montana. In the 2009 Legislative Session, the state of Montana passed a bill expanding greywater use into multi-family and commercial buildings. The Department of Environmental Quality has already drafted rules and design guidelines for greywater re-use systems in all these applications. Existing staff would review systems proposed for new subdivisions in conjunction with review of all other wastewater system components.