Sydney bushfire still out of control and may have been deliberately lit

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While lower wind conditions are expected to help with containing the fire, RFS Deputy Commissioner Rob Rogers warned that the high temperatures remain an issue.

"The good news is that the wind conditions will be easing, so we should see winds that are about half the speeds of what we had".

"We have had reports of impact on properties in west Menai and Barden Ridge but our crews at the moment are exclusively focused on fighting the fire", he told AAP.

So far no homes have been lost though there has been some property damage, Mr Fitzsimmons said.

Residents in Sandy Point, Pleasure Point, Voyager Point, Alfords Point, Barden Ridge, Illawong, Menai and Bangor are still advised to keep a close eye on the situation and activate their bushfire survival plans if conditions change.

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More than 500 firefighters faced walls of fire, fanned by 70 km/h wind gusts on the city's southern fringe on Sunday and through the night.

Many residents in Menai made a decision to remain at their homes and were kept busy fighting ember attacks.

Major roads separating bushland and residences were cut off in some areas, and fire services used helicopters to dump water over key points.

The grass fire began in Casula on Saturday afternoon and quickly spread through Moorebank, Wattle Grove, Holsworthy, Menai and Heathcote.

"It will be a tough week for firefighters because unfortunately, what we really need is a meaningful rain right across this fire ground and right across other parts of NSW", he said.

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On Sunday, more than 500 firefighters in nearly 100 fire trucks, along with 15 aircraft, battled the blaze throughout the day.

Police are now investigating the source of the fire, which is being treated as "suspicious".

The blaze was downgraded from watch-and-act to advice about 2am on Monday.

Fitzsimmons said it would be "sickening and reprehensible" if the fire was discovered to have been arson.

"How dare anyone in society think they can deliberately light a fire, endanger all these men and women - the vast majority who are volunteers - putting their lives on the line to try and bring these fires under control and, in turn, put so many members of the community (at risk)", the commissioner said.

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"We're certainly looking to maximise the amount of time we have them here".

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