Australia bushfires: Two blazes threatening to merge into 'monster' inferno

Two fires on the border of New South Wales and Victoria are expected to merge into a monster blaze imminently. 

It comes as Australian Prime Minister Scott Morrison has confirmed there could be both a Federal Inquiry and Royal Commission into bushfires across the country.

The major blazes are on a collision course and when they merge, the blaze will double in size.

In NSW, 135 fires are still burning and about 50 are still not contained. High temperatures are threatening to spark more.

"You have got such high temperatures and unpredictable wind conditions," NSW Premier Gladys Berejiklian said. "You have to brace yourself for new emergencies or new contingencies."

Fire crews have all but given up winning the fight in the forests, focussed instead of saving lives and protecting assets.

In Victoria's Gippsland, a tent city has emerged amid the scorched land. It's a purpose-built home for hundreds of fatigued firefighters.

"Having a good sleep is one of the most important things," one firefighter said.

They wake and minutes later head out to the fire front, armed with the latest information..

Victoria's state of disaster has been extended to Saturday.

"We're on watch, fully, constantly," one farmer said.

The state of disaster gives police the unprecedented power to arrest those who refuse to leave their properties, as the danger remains ever-present.

$60 million has been allocated by the Government to repair infrastructure in affected areas even while the fire rages on. 

Meanwhile, mining billionaire Andrew Forrest has donated $70m of his own.

Families that have been crippled by loss of homes, livestock and loved ones are hoping they can survive Friday's spike in temperatures because on the horizon, there is hope with rain expected next week.

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