A senior firefighter lost his own home while out defending properties during the devastating bushfire at Carwoola on Friday.

Police launched an investigation into the circumstances behind the grassfire east of Queanbeyan on Saturday, as crews continued to battle the blaze with the aid of afternoon storms.

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 lightning strikes closely on Saturday.

"[The fire] has not been fully contained, but the rain is helping," a spokesman for NSW Rural Fire Service said on Saturday afternoon. "Firefighters are working extremely hard to bring that fire under control...We can't put an end time on the fire just yet...it would be great if it was today, to at least have it under control." 

Nearly 200 firefighters, 50 fire trucks and at least 10 aircraft worked to establish containment lines on Friday, but the blaze had burnt 2700 hectares by 7pm, and destroyed at least eight homes.

NSW RFS confirmed two firefighters had also been injured while fighting the blaze and were taken to Canberra Hospital. 

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

As of 3pm Saturday, the fire had burnt more than 3500 hectares of land around Captains Flat Road. The alert level was downgraded from emergency to advice overnight and fire crews were hopeful the blaze could be brought under control as conditions turned in their favour.

Following hot, dry temperatures on Friday, a rainy top of 28 degrees was a welcome relief for firefighters on Saturday.

RFS crews confirmed at least eight homes had been destroyed as a result of the Carwoola fire, with a further six homes damaged in the blaze. 

As of 4pm Saturday, crews had assessed 85 per cent of the fire ground. While 23 outbuildings were destroyed and a further 24 damaged, 56 homes were saved by firefighters.

NSW RFS deputy commissioner Rob Rogers praised the actions of volunteers crews on the ground, 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. 

On Saturday morning, the ACT Emergency Service sent a further three taskforces to the fire front, including both the territory's bushfire helicopters. 

"This has been a very tough time," Mr Barilaro said. "They were focused on protecting life and the community."

He said the state government would be "standing firm" with the community in the days to come.

Police said in a statement on Saturday they were working with NSW RFS to establish the cause of the fire. A brief would be prepared for the Coroner.

Over the past 24 hours, it's estimated lightning strikes had caused more than 100 fires to spark across NSW.

People in the area of Hoskinstown, Rossi and Forbes Creek were advised to continue monitoring the fire situation closely and to prepare a bushfire survival plan.

On Saturday morning, the Queanbeyan-Palerang Regional Council launched an appeal to help those affected by the grass fire.

It was set to kick off later in the day at the NRL trial between the Raiders and the Knights at Seiffert Oval in Queanbeyan, with volunteers roaming 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 could be deposited into the Carwoola Bushfire Appeal account – BSB 032724, account number 362257 or made in person at Westpac branches. 

There were a number of roads closed on Saturday due to safety reasons and a total fire ban remained in place across the ACT.

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

Horse owners requiring assistance were advised to 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.

Weatherzone: Canberra radar