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Prime Minister Anthony Albanese has ended a six-year long freeze in Australia's diplomatic relations with China, meeting President Xi Jinping on the sidelines of the G20 summit.

During a half hour meeting in Bali on Tuesday afternoon, Mr Albanese and Mr Xi discussed China's trade sanctions on Australia, the detention of two Australians and Russia's invasion of Ukraine.

Mr Albanese said he and the president spoke honestly with each other and it was a positive meeting.

"It was not anticipated that in a meeting such as that you would get immediate declarations ... but it was very constructive," he told reporters.

"I've put forward (Australia's) position and I've used the language of moving forward together."

The prime minister said he spoke "firmly but politely" and urged Mr Xi to exercise China's influence over Russia and condemn the war.

In opening remarks ahead of the meeting, Mr Xi said the China-Australia relationship had run into some difficulties in the past few years.

"That was not what we were willing to see because China and Australia are both important countries in the Asia Pacific region," he said.

"We should improve, maintain and develop our relationship as it is consistent with the fundamental interests of both countries' people."

The president noted that since becoming prime minister, Mr Albanese said he would handle relations between the two countries "in a mature manner".

"I attach great importance to your opinion," Mr Xi said.

Malcolm Turnbull was the last Australian prime minister to have a formal meeting with Mr Xi in 2016.

Since then, increasing tensions over security arrangements and trade sanctions worth $20 billion have seen relations deteriorate.

But Mr Albanese, who set no preconditions for the formal talk, considered securing the meeting a success in itself.

He anticipated further meetings would take place in future and that both nations had taken an important step to moving forward.

Indonesian President Joko Widodo, hosting the G20 leaders, is keen for the two-day summit to deliver outcomes as the world grapples with rising inflation, climate change and the effects of the pandemic.

He called for unity and said collaboration was "badly needed" to save the world.

Earlier, Treasurer Jim Chalmers said while it was a welcome opportunity, it would not immediately fix the fractured relationship between the two countries or result in the removal of trade sanctions.

Dr Chalmers said the government remained deeply concerned over the detention of two Australians, including journalist Cheng Lei, who has been in custody for more than two years and denied contact with her family.

Liberal Senator Simon Birmingham welcomed the end of the Chinese government's ban on talks with Australia but urged Mr Albanese to protect Australia's interests.

"It was always counterproductive for China to refuse to sit down at the table with Australia," he told reporters in Sydney.

"Dialogue should be the last thing ended rather than the first thing."

On the first day of the summit, Mr Albanese chatted informally with Spanish Prime Minister Pedro Sanchez and German Chancellor Olaf Scholz.

He has also confirmed formal bilateral talks with British Prime Minister Rishi Sunak, French President Emmanuel Macron and Indian Prime Minister Narendra Modi.

Russia's invasion of Ukraine provides a backdrop to the summit, as Foreign Minister Sergei Lavrov attends instead of President Vladimir Putin.

Ukrainian President Volodymyr Zelenskiy addressed the summit virtually.

Leaders at the G20 summit took part in two closed sessions on health, food and energy security.

with Associated Press

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A multi-agency search is underway for a man and a woman believed missing during severe flooding in the NSW central west town of Eugowra, as the entire region remains on high alert for renewed inundation.

Rapid torrents of water reached roof height throughout the town early on Monday morning, destroying roads and infrastructure and taking many locals by surprise.

Dianne Smith, 60, was last heard from on Monday morning when she called a relative from her car in the historic town as it went under.

When unable to make contact with her, her relatives contacted police.

Also believed to be missing is Ljubisa "Les" Vugec, 85, who was last seen at his home in Eugowra about 9am on Monday.

Searches are now underway in the Eugowra area for the missing pair, involving numerous police agencies and the State Emergency Service.

Premier Dominic Perrottet said wider rescue efforts were now focused on Eugowra and Forbes where 14 aircraft have been used to help stranded residents.

"We know for many of our communities in the central west, there is a lot of pain and a lot of hurt but we've got through these challenges in the past and we'll get through these challenges again," he said.

"We do expect a difficult period of time over the next couple of days."

An evacuation warning was issued for Forbes on Tuesday morning, saying the Lachlan River was rising faster than anticipated and about 1000 people in the town needed to leave immediately or risk being cut off.

With river levels rising faster than expected, about 500 to 600 homes and businesses are anticipated to be inundated again under the gushing water.

On the 63rd day of the flood crisis Emergency Services Minister Steph Cooke spoke of the ongoing devastation, saying Condobolin was entirely isolated.

"This just isn't people's houses. These are people's homes. It's their belongings, it's their memories, it's their livelihoods and it's their futures," she told reporters in Sydney.

About 100 Australian Defence Force personnel have been deployed to help rescue operations, with 12 New Zealand volunteers arriving, along with 14 aircraft supporting and rescuing residents and another four helping with logistics and transport.

SES Commissioner Carlene York described the response "as one of the biggest operations ... across NSW in its history".

The Bureau of Meteorology's Steven Bernasconi said 17 flood warnings are in place with eight major alerts affecting 25 locations.

Major flooding is occurring at Bathurst where the river peaked at 6.4m but has fallen significantly and Eugowra, which peaked at 9m and is slowly falling.

Major flooding with an extended peak is also expected at Gunnedah and Wee Waa, west of Tamworth, from Tuesday into Wednesday. Both communities have been hit with repeated flooding in recent months.

The evacuation order for Forbes comes just over a week after it experienced record flooding that damaged homes, businesses and roads.

Forbes Mayor Phyllis Miller said people were shocked by another inundation.

"They can't believe this could happen twice in such a short period of time," she told ABC TV on Tuesday.

"This is really heartbreaking. Our farming community and businesses are suffering terribly."

The Wyangala dam is spilling at record levels, with 230,000 megalitres being released a day, exacerbating flooding along the Lachlan River.

Mr Perrottet said his government was committed to raising the dam because it will protect lives.

SES chief superintendent Dallas Burnes said people in Eugowra were shocked at how quickly the water level had risen.

"The velocity was extremely fast - too fast in many cases to put boats in the water - hence the evacuations we performed yesterday with the 12 assets we had on hand via helicopter," he told Nine's Today Show.

© AAP 2022

About 1000 people in the NSW town of Forbes have been told to evacuate before expected major flooding as the entire central west remains on high alert.

The State Emergency Service issued the evacuation warning on Tuesday morning, saying the Lachlan River is rising faster than anticipated and people need to leave immediately or risk being cut off.

With river levels rising faster than expected reaching 10.88 metres, about 500 to 600 homes and businesses are anticipated to be inundated again under the gushing water.

On the 63rd day of the flood crisis Emergency Services Minister Steph Cooke spoke of the ongoing devastation, saying Condobolin was entirely isolated.

"This just isn't people's houses. These are people's homes. It's their belongings, it's their memories, it's their livelihoods and it's their futures," she told reporters in Sydney.

There was major flooding along the Lachlan River at Cowra, Nanami, Forbes, Cottons Weir, Jemalong, Condobolin, Euabalong and Hillston on Tuesday, with further river level rises expected into Wednesday.

Premier Dominic Perrottet says rescue efforts are now focused on the towns of Eugowra and Forbes where 14 aircraft have been used to help stranded residents.

"We know for many of our communities in the central west, there is a lot of pain and a lot of hurt but we've got through these challenges in the past and we'll get through these challenges again," he said.

"We do expect a difficult period of time over the next couple of days."

About 100 Australian Defence personnel have been deployed to help rescue operations, with 12 New Zealand volunteers arriving, along with 14 aircraft supporting and rescuing residents and another four helping with logistics and transport.

SES Commissioner Carlene York described the response "as one of the biggest operations ... across NSW in its history".

The Bureau of Meteorology's Steven Bernasconi said 17 flood warnings are in place with eight major alerts affecting 25 locations.

He outlined major flooding at Forbes, with the peak similar to 1952 flood levels, Cowra at 14.3m peak, Namoi could reach 13.6m and Condoblin at 7.4m.

Major flooding is occurring at Bathurst where the river peaked at 6.4m but has fallen significantly and Eugowra, which peaked at 9m and is slowly falling.

Major flooding with an extended peak is also expected at Gunnedah and Wee Waa, west of Tamworth, from Tuesday into Wednesday. Both communities have been hit with repeated flooding in recent months.

The evacuation order for Forbes comes just over a week after it experienced record flooding that damaged homes, businesses and roads.

Forbes Mayor Phyllis Miller says people are shocked by another inundation.

"They can't believe this could happen twice in such a short period of time," she told ABC TV on Tuesday.

"This is really heartbreaking. Our farming community and businesses are suffering terribly."

The Wyangala dam is spilling at record levels, with 230,000 megalitres being released a day, exacerbating flooding along the Lachlan River.

Mr Perrottet says his government is committed to raising the dam because it will protect lives.

About 150 people were rescued on Monday from roofs in Eugowra and nearby Molong, with extensive damage in the historic town. The SES received reports of entire houses being swept downstream in floodwaters and bridges being moved off pylons.

SES chief superintendent Dallas Burnes said people in Eugowra were shocked at how quickly the water level had risen.

"The velocity was extremely fast - too fast in many cases to put boats in the water - hence the evacuations we performed yesterday with the 12 assets we had on hand via helicopter," he told Nine's Today Show.

© AAP 2022