In the town where I live almost no one drinks the tap water.
It has very high amounts of treated sewage in it and it is 
detectable in taste and aroma. This wouldn't be so bad were it
not for the bleach flavor added to try to mask the sewage
flavor.
Water packaging and transport is a concern, but as Crashwrite
points out, you can get your containers refilled.

It is still very important to drink water on a daily basis.
If you must drink tap water, it is better than nothing.
There are tap water quality standards and those should protect
us to a certain extent.