On Saturday, police launched an investigation into the circumstances behind the devastating fire at Carwoola, as crews continue to battle the blaze.

Firefighters worked throughout the night to protect properties, while the fire raged at Captains Flat Road between Carwoola and Hoskinstown.

Nearly 200 firefighters, 50 fire trucks and at least 10 aircraft worked to establish containment lines on Friday, but the blaze had burnt 3500 hectares as of Saturday morning, and taken at least 15 homes.

A spokesman for the NSW RFS confirmed two firefighters had also been injured while fighting the blaze and taken to hospital.

ACT Health said one of the firefighters was released from hospital on Friday afternoon, while the other remained in a stable condition.

As of 11.20am Saturday, the fire had burnt more than 3500 hectares of land around Captains Flat Road. The alert level is currently set at advice, after being downgraded from emergency overnight.

NSW RFS deputy commissioner Rob Rogers praised the actions of volunteers firefighters fighting the blaze, saying the situation could have been much worse.

"The fire moved frighteningly quickly and the remarkable thing is how quickly that fire developed," he said. "There is a lot of work still to be done, but the emergency has passed."

Mr Rogers told the media on Saturday afternoon crews were allowing residents to inspect the damage to their homes, but warned of the potential for asbestos.

"We just want to make sure that people are safe," he said.

NSW Deputy Premier and Monaro MP John Barilaro also praised local RFS crews, including those from the ACT and Victoria who helped with firefighting efforts. 

The alert level is currently set at advice, after being downgraded from emergency on Friday night.

The RFS said on Saturday afternoon that about half of the fire ground had been surveyed and six homes had been confirmed lost.

Having worked throughout the night to protect properties from the fire burning at Captains Flat Road between Carwoola and Hoskinstown, firefighters said they were monitoring for lightning strikes closely on Saturday.

While conditions have eased people in the area of Hoskinstown, Rossi and Forbes Creek should continue to monitor situation.

A statement from NSW RFS urged residents to decide now what you will do if the fire reaches your property.

“If you are the area of Primrose Valley, there is no immediate threat to the area but the road is cut to the north.”

“Roads in the area are affected by fire and may not be safe.”

There are a number of roads closed due to safety reasons.

The Queanbeyan-Palerang Regional Council has also launched an appeal to help those affected by the grass fire.

It will kick off at Saturday's NRL trial between the Raiders and the Knights at Seiffert Oval in Queanbeyan. Volunteers will roam the crowd to collect donations.

Council administrator Tim Overall was touring the fire grounds on Saturday morning with Rural Fire Service representatives.

"This is heartbreaking for our community and, while we will never be able to replace what has been taken from these families, the establishment of the Carwoola Bushfire Appeal fund will allow the community to come together and support those who have been affected," Mr Overall said.

Donations can be deposited into the Carwoola Bushfire Appeal account – BSB 032724, account number 362257 or made in person at Westpac branches.

A 24-hour evacuation centre has been established at The 'Q' - Queanbeyan Performing Arts Centre, 253 Crawford Street, Queanbeyan. 

Horse owners requiring assistance can take their horses to Exhibition Park's Equestrian Centre, located at 10 Flemington Road Mitchell ACT.

For more information contact the EPIC 24-hour duty phone on 0466 419 099.