As far as I'm aware there's no direct recycling of water for the purposes of creating drinking water anywhere in Australia at present. All such recycling is for the purposes of irrigation, cooling and cleaning and such.
Recycled water FAQ.
It is possible to create drinkable water from wastewater and some countries have even started doing so, but Australia isn't among them. Yet.
We already do "indirect" recycling in that very little "new" water is being created and thus the vast majority of water in existence has been recycled in some fashion, mostly via natural processes.
Dr Karl has talked about such things many times before.