The health department has clarified that Victorians who were already in NSW before the states' border closure began do not need to self-isolate.
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The NSW-Victorian border closed on midnight on Tuesday, restricting access into NSW due to the COVID-19 outbreak in the southern state.
On Thursday night, a NSW Health spokesperson said the health department would amend the health orders that were brought in on July 8 to remove confusion.
"The government's intent was to ensure any Victorian or anyone entering NSW from Victoria after the commencement of the orders will be required to self-isolate," the spokesperson said.
"The government's policy was not to be retrospective.
"This action follows legal advice that the orders are open to an incorrect interpretation."
On Thursday, Bega Valley GP Duncan Mackinnon recommended tourists be tested at local clinics while visiting the region.
NSW residents are still allowed to return to their home state.
But on NSW Health's website it states in almost all cases you will need to obtain a NSW Border Permit and be required to self-isolate for 14 days to cross the NSW/Victorian border even if you are a returning resident of NSW.
The government's clarification comes after a Victorian teenager visiting Merimbula was diagnosed with COVID-19 earlier in the week.