Fines of up to £500 will be issued to anyone caught climbing the sculpture, polluting the fountains, cycling or skating in the square next to Barnsley Town Hall.
The by-laws were approved by the council yesterday after being given provisional approval from the Department of Local Communities and Government in December.
The by-laws have been brought in to deter people climbing the so-called comb sculpture, skateboarding, stunt cycling and putting washing up liquid in the fountains.
Breaching them will be classed as a criminal offence and offenders will be taken to court, where they will face fines of up to £500.
Coun Roy Miller said: "Damage has been caused to stonework by cyclists and skateboarders and some people are climbing up the sculpture."
He said Barnsley police have had difficulty using existing powers to tackle this problem.
Coun Miller added: "Bye-laws for this area will provide basic enforcement.
"It will prohibit the use of skateboards, scooters and BMXs in the area and adjacent to the town hall. It will also make it an offence to climb the sculpture."