THE lake lives. Once drained to dust by drought, presumed dying or dead by many, Lake Eildon is now lapping at its lid at 95 per cent capacity. In 2007, it was 5 per cent full.

The holidaymakers and day-trippers are there in vast numbers, farmers know their fields can be fed. And the entire state stands to benefit economically as a result.

Mark Bailey, of Goulburn-Murray Water, which manages and regulates the lake, said the current capacity figure augured well for several years at least.

"We would think we'll be right for the next five years," he told The Sunday Age.

"A lot of the change really came in the 2010/11 year, which was one of the wettest on record. That's really what brought the water back in. And also, with irrigation you haven't really had the need to order water or use it."

That latter benefit is partly due to good rains leaving farmers less dependent on Eildon, and also to improved irrigation practices forced on farmers by the drought. "A lot of people are looking at more efficient ways of using water," Dr Bailey said.

There is also that less comforting reason: fewer farmers. "A lot of farmers haven't returned to the land they were irrigating before."

Dr Bailey admits there were deep fears during the last drought. "We were very worried about managing the Goulburn system and how we were going to support a large portion of Victoria with very little water. We were basing our plans on a number of very severe scenarios."

At the Eildon Boat Club - the most exclusive area in the national park, with 700 members and 450 houseboats and cruisers moored in its harbour - the lake's new life means a return to big business.

Club general manager Daryl Potter says the summer trade indicates Lake Eildon is very much back in business.