More stranded Victorians are now permitted to return home as the state eased border restrictions with the NSW Blue Mountains, Wollongong and parts of Sydney.
Thousands of Victorians stranded in Sydney are now able to return home, although parts of the NSW capital remain blacklisted.
Twenty-five of Sydney's 35 local government areas were downgraded from "red" to "orange" zones at 6pm on Monday as part of Victoria's "traffic light" permit system.
The Blue Mountains and Wollongong also moved from red to orange, while 16 local government areas along the NSW-Victoria border changed from orange to green, permitting unrestricted entry.
People travelling from an orange zone still need to apply for a permit online and get tested within 72 hours of their arrival in Victoria, isolating until they receive a negative result.
It follows the downgrading of Greater Brisbane from red to orange at the weekend.
Sydney local government areas Blacktown, Burwood, Canada Bay, Canterbury-Bankstown, Cumberland, Fairfield, Inner West, Liverpool, Parramatta and Strathfield remain red zones for now.
Premier Daniel Andrews said the 10 areas were all linked to Sydney's Berala cluster, now totalling 35 cases.
"They will be designated red for not a moment longer than they need to be," Mr Andrews said.
Victoria notched a 13th consecutive day without a local coronavirus case on Tuesday, although there were four new international cases in hotel quarantine.
NSW also recorded zero local cases on Tuesday, with two cases in returned travellers.
It pushed to 72 the number of Australian Open players forced into quarantine with being able to train - all of them passengers aboard three charter flights into Melbourne linked to the positive cases.
Some took to social media to complain about being unable to train, while world No.1 Novak Djokovic reportedly wrote to the tournament boss with a number of demands.
"People are free to provide lists of demands but the answer is no," Mr Andrews said of Djokovic's letter.
It comes as Victoria Police insists there has been no shift on COVID fines, saying a poorly-worded guidance note has given the wrong impression.
Assistant Commissioner Rick Nugent says all unpaid fines will be pursued.
Meanwhile, a nurse and a police officer working at a medi-hotel in Melbourne's CBD tested negative to the virus after initially returning "weak positive" results.
People in Australia must stay at least 1.5 metres away from others. Check your jurisdiction's restrictions on gathering limits. If you are experiencing cold or flu symptoms, stay home and arrange a test by calling your doctor or contact the Coronavirus Health Information Hotline on 1800 020 080.
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