ATLANTA --- Georgia environmental officials are relaxing some of the strict water restrictions imposed last year despite concerns that the epic drought gripping the state could grow worse.

Carol Couch, Georgia's top environmental official, called off an order Tuesday that required utilities in 61 counties in drought-stricken north Georgia to reduce water use by 10 percent.

She also loosened water restrictions through parts of south and central Georgia, and launched a new plan that could allow some counties in the northern part of the state to apply for exemptions.

Recent rainfall throughout the state and other signs the drought was loosening helped spur the moves, but Ms. Couch said she was also convinced that many of Georgia's communities are now more prepared for the consequences of a drought.

"If we're prepared, we should be able to weather drought conditions," she said.

But the sudden policy shift has raised concern from environmentalists and others who fear the state could be loosening water restrictions just as the drought grows worse.

"We cannot afford to find ourselves in another water crisis caused by the state's irresponsible mismanagement of water resources when the dog days of summer come this year," said April Ingle of the Georgia Water Coalition.

There's little doubt the drought's grip on the state has weakened.

Recent rainfall has helped replenish reservoirs and streams that months ago had dried to a trickle. It's also chipped away at conditions that left most of the state in an "exceptional" drought -- the government's worst category -- in December. Now no part of the state is classified in that category.