NSW on Saturday reported 1035 new cases of COVID in the community, bringing the total in the state since the beginning of the pandemic to 23,183.
Two more deaths were reported.
"A woman in her 70s from Sydney’s Nepean Blue Mountains Local Health District died at Nepean Hospital, after acquiring her infection there earlier this month," NSW Health said on Saturday. The other was a woman in her 80s from western Sydney who died at Westmead Hospital.
"I want to express my sympathies and the sympathies of the entire New South Wales Health system and our government to the families of those two ladies. It's a terrible situation," said NSW Health Minister Brad Hazzard.
They are the 82nd and 83rd deaths in this outbreak, which began in June. There have now been 17,582 cases since then, all of the infectious Delta variant which has spread to New Zealand.
There are 778 cases currently in hospital, with 125 in intensive care, 52 of whom require ventilation.
The 1035 cases is a new record for any state in the country in 24 hours, ABC News reported.
"Of the 1035 locally acquired cases reported to 8pm last night, 398 are from Western Sydney Local Health District (LHD), 316 are from South Western Sydney LHD, 100 are from Sydney LHD, 78 are from Nepean Blue Mountains LHD, 52 are from South Eastern Sydney LHD," NSW Health said.
"Forty-two are from Western NSW LHD, 25 are from Northern Sydney LHD, seven are from Illawarra Shoalhaven LHD, four are from Far West LHD, three new cases for Hunter New England LHD, two new cases for Central Coast LHD and eight cases are yet to be assigned to an LHD."
There has also been trace amounts of the virus detected in wastewater in Brewarrina, Moree, Merimbula, Baradine, Bonny Hills, which NSW Health said was a concern since there are no known cases in those places.
"Everyone in this area is urged to monitor for the onset of symptoms, and if they appear, to immediately be tested and isolate until a negative result is received."
In better news, the state also set a new vaccination record - 156,165 in one day.
Despite the increasing number of cases, Hazzard said restrictions on wedding party sizes would be increased to five - in addition to the photographer and those officiating proceedings.
Earlier, the state of Victoria reported 79 new locally acquired infections and ACT 21. Queensland reported none.