NSW Health has urged people in the Batemans Bay area to come forward for COVID-19 testing if they have symptoms after fragments of the virus were found at the local sewage treatment plant.
ACT Health has also urged Canberrans to come forward for testing if they have symptoms and have visited the coastal town recently.
Authorities have said the fragments could be due to a previously confirmed case shedding the virus.
"It is important to note that the positive detection can be due to shedding of the virus by someone who has previously recovered from COVID-19 and is no longer infectious, with the virus 'shedding' through their system for up to six to eight weeks later," an ACT Health statement said.
But NSW Health said it was concerned there "could be other active cases in the local community in people who have not been tested and who might incorrectly assume their symptoms are just a cold".
It comes as nightclubs are now allowed to reopen in the ACT.
Licensed venues with a dedicated indoor dance area are allowed to have up to 25 people dancing where the one person per two square metre rule is applied.
The ACT recorded no new cases on Friday. There are no active cases in the territory.
