High temperatures and strong winds are expected to ease slightly in the ACT and at the South Coast on Wednesday, before conditions likely deteriorate later in the week.
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Canberra is predicted to reach a top of 35 degrees on Wednesday and again on Thursday with the smoke haze that has choked the city for weeks showing no signs of abating.
A total fire ban was declared for the ACT for the duration of Wednesday.
The territory's fire danger rating was predicted to be very high on Wednesday, meaning any fires that could ignite would be difficult to control and could be fast moving.
Bureau of Meteorology forecaster Abrar Shabren said with fires now to the east and west of Canberra, wind changes in either direction were likely to bring smoke to the territory.
Mr Shabren said a high pressure system was exerting a ridge across most of NSW which was bringing across a hot air mass from central Australia.
This was causing the extremely high temperatures across the state and the ACT.
An easterly wind change on Tuesday night would drop the temperatures slightly for Canberra but later in the week the severe heatwave conditions were set to return with a top of 42 predicted for Saturday.
South-easterly winds between 25 to 30 kilometres per hour swept across the territory on Tuesday evening and Wednesday was expected to bring light westerly winds with a top of 20 kilomteres per hour.
Parts of the territory experienced some light rainfall on Tuesday evening. Mixing with the dust in the air there were reports of very dirty rain falling around the city.
A southerly wind change brought relief to parts of the fire ground at the South Coast on Tuesday, it was expected to drop the temperature up to eight to 10 degrees, assisting firefighters.
Batemans Bay is set for a top of 25 degrees on Wednesday and Thursday before increasing slightly to 29 on Friday and then hitting a top of 41 on Saturday, increasing the danger for the fires. The southerly wind change which pushed the fire north on Tuesday was expected to remain on the South Coast on Wednesday.
There was predicted to be winds of 15 to 20 kilometres per hour at Batemans Bay which would become south-easterly as the day progressed.
Mr Shabren said the wind changes, while potentially lowering temperatures, could also make things more difficult for firefighters as the direction of the fire could change suddenly and increase the size of the fire front. There was also a risk of pyrocumulonimbus thunderstorm clouds being created by the fire anywhere across the fire ground, Mr Shabren said. These would create dry thunderstorms bringing lighting, a significant risk for igniting further fires, and "localised gusty, turbulent winds".
While there was a chance for some isolated coastal showers on the coast, Mr Shabren reaffirmed the prediction there will be no significant and widespread rainfall, enough to affect the fires, in coming weeks.
The water storage level for the ACT is sitting at 48 per cent, if it continues to drop water restrictions may need to be implemented.
Acting ACT chief health officer Paul Dugdale warned Canberrans to be aware of the smoke haze and limit time outdoors.
Dr Dugdale said people with asthma and other lung conditions and those with heart conditions should take extreme caution in the hot and smoky conditions.
He reminded people to stay hydrated and avoid physical exertion and that during the New Year's period to remember that alcohol could cause dehydration.
A total fire ban would also be in place for the southern ranges area on Wednesday, including the Queanbeyan-Palerang council area.
