Yes, it should be.
Most white paper towels are fairly safe, unless they have special scrubbing fibers added (and that is usually obvious) or soap embedded within the towels themselves (my ex once bought these weird paper towels that were pre-soaped, so when you got them wet, they made everything soapy! LOL)
the scrubbing type are probably fine unless the bird chews on them--- but I use towels to line the cage-bottom, which is why I mentioned it.