Two children and a truck driver have been killed in a multiple vehicle collision and fuel tanker explosion this afternoon on the Princes Hwy, north of Batemans Bay.
Police said a fuel tanker and three cars collided near the intersection of Pebbly Beach Rd at East Lynne, around 20km north of Batemans Bay, at 4.50pm.
Police said at least two of the vehicles caught fire as a result of the collision.
The tanker driver and two children, aged 8 and 11, were killed in the collision.
Two other people sustained serious burns to more than 70 per cent of their body and were flown to Royal North Shore Hospital and Concord Hospital.
Four other patients were taken by ambulance to Batemans Bay District Hospital and Milton-Ulladulla Hospital.
The Princes Hwy remains closed in both directions and a police spokeswoman said it was not expected to reopen until after midnight.
Light traffic is being diverted east along Mount Agony Rd and along Higgins Creek Rd and Dam Rd, while heavy vehicles are asked to use the Kings Hwy.
For full coverage see Tuesday's Mercury.