Multiple fire fighting crews responded to reports of a large area of bush or grass fire on the Snowy Mountains Highway near Cooma on Tuesday afternoon.
According to the NSW Rural Fire Service the fire is west of Cooma near the turnoff to Adaminiby. It is about 10 hectares in size, and has now been classified as under control.
A tweet from NSW RFS said crews had the "upper hand" and had protected two homes. There were no immediate threats to other property.
Traffic on the Snowy Mountains Highway was briefly affected in both directions at Four Mile Road, however the incident has now been cleared from the road.
Initial reports suggested a disused petrol station and a number of homes may have been under threat from the fire, which momentarily closed a part of the highway near the intersection with Jindabyne Road.
Fire danger ratings were high for much of the eastern areas of NSW on Tuesday due to warm temperatures and high winds. The fire danger in the Monaro Alpine area was rated as high, while a total fire ban was in place across Sydney and the north-east of the state, where the danger was rated as severe.