There are fears Sydney could be next in line for lockdown, as a cluster linked to a hotel bar see 13 new cases on Monday.
There are now 14 cases in NSW, the majority are linked to a cluster at the Crossroads Hotel Bar in Sydney. The other, at a casino.
A thousand patrons from the bar have been ordered into isolation and hundreds of tests are being carried out.
David Elliott, New South Wales Minister for Police and Emergency Services, warns the state could go back into lockdown if the outbreak is not brought under control.
"If that occurs in New South Wales, we will have to continue to look at what restrictions need to be reintroduced and that will be devastating, particularly to the hospitality industry," Elliot said.
There are also concerns about breaches of public health orders in Sydney. One party drew a crowd of 200 while the limit is 20.
Operation Coronavirus Commander Tony Cooke says this behaviour must stop.
"The time for warnings has long passed, the moronic behaviour of people at dance parties has got to stop."
The Australian state of Victoria recorded another 177 COVID-19 cases on Monday, as Melbourne and surrounding suburbs are on a six-week lockdown.
Police are out in their hundreds, enforcing the lockdown and handing out fines for border breaches.
One bus load of Victorians had been caught trying to cross the Queensland border.
The group of six said they were looking for work after losing their jobs, and were fined $4000 each for breaching lockdown rules.
"We're really desperate at the moment, there's nothing down there and we went to Queensland for a better opportunity and it obviously wasn't a great decision and we're paying the price for it," they said.
