The Victorian government has cleared the way for tourists from parts of Greater Sydney to travel to Victoria, provided they get tested.
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Sixteen local government areas in NSW, including Wollongong and the Blue Mountains and parts of Greater Sydney, will move from 'red' to 'orange' tonight.
People in the orange zones can enter Victoria if they obtain a permit and get tested for COVID-19 within 72 hours of arrival, and isolate until returning a negative result.
Victorian Premier Daniel Andrews also announced changes to restrictions for border towns.
"Local government areas that run on the NSW side but along the NSW-Victoria border, they will from 6pm tonight move from orange to green," Mr Andrews said.
"And what that will mean is, not so much for local residents because they're already in a bubble, but for visitors to those communities ... you will need a permit to come back, but you will not have to isolate and get a negative test.
"And that's a consequence of having seen no cases there for a sufficient period of time.
"Transmission and cases are pretty much confined to those 10 local government areas.
"25 of the 35 local government areas [in Sydney] will move from red to orange this evening.
"Transmission and cases are pretty much confined to those 10 local government areas [staying red].
"2021 is shaping up to be a vastly different and better year."
"Clearly it's a good epidemiological situation [on the border] and I hope the green zone designation means people can feel confident to go to those areas for tourist purposes, and it's a bit easier on those residents," he said.
In a statement the Victorian government has said:
New South Wales border towns with Victoria will move to a green zone from 6pm tonight, ensuring easier movement for people on either side of the border.
This includes Albury City, Balranald Shire, Bega Valley Shire, Berrigan Shire, City of Broken Hill, Edward River Council, Federation Council, Greater Hume Shire, Hay Shire, Lockhart Shire, Murray River Council, Murrumbidgee Council, Snowy Monaro Regional Council, Snowy Valleys Council, City of Wagga Wagga and Wentworth Shire.
Cross-border communities do not need to apply for a travel permit, as long as they carry a valid form of ID with their address - like a driver licence - and have not been in a current orange or red zone area in the last 14 days.
Anyone living in a cross-border community who has been in an orange zone in the last 14 days (other than for transit) - such as the Greater Sydney area, must apply for an Orange Zone Permit and agree to the conditions including the requirement to get tested within 72 hours of arrival and remain in self-quarantine until they receive a negative result.
Anyone living in a cross-border community who has been in one of the 10 LGAs currently in the red zone in the last 14 days cannot travel to Victoria without an exemption, exception or essential worker permit.