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I've thought about it some more, and especially given that they're going to be PPOR neighbours, I wouldn't be thinking, or using the word, "theft", at all, yet. You want to "assume the best". I can think of many scenarios under which they'd not think they were doing anything wrong. What if...

Cost of water in Brisbane currently about $600/ML. (Million litres.) 5,000L = 1/200th of a ML Therefore they've "stolen" about $3 worth of water, if they've completely filled their 5 KL tank. Not good form - certainly. Violation of water restrictions - yes. Theft - technically, yes...