Both my grandparents had this style of pulley on their cisterns. Many's the time I lowered the bucket and hoisted it back up full of water and toted the bucket into the kitchen. I still have the center wheel part of Grandma's pulley, albeit with a missing spoke.
That is cool! I would love to have a chance to hoist up a bucket of fresh water although I would not want to have to tote it inside (running water from the tap is a luxury).