Both lanes of the Hume Highway near Goulburn were closed on Friday afternoon as firefighters worked to extinguish a grass fire that is now under control.

While motorists could travel south to Canberra, all northbound highway traffic was being diverted through Goulburn. The highway was reopened by authorities about 6.30pm.

More than six fire crews were called to contain the fire close to the south Goulburn McDonald’s restaurant, which began on the median strip after a car lost its wheel around 1.30pm Friday.

Hot winds propelled the blaze to jump to the other side of the highway.The fire was moving rapidly eastbound, advancing towards several properties.

Residents have said they understood the fire started when a trailer travelling on the Hume Hwy became unhinged and spilled its load on the median strip.

Some residents also hosed down their properties to prevent the fire from catching.

The fire is understood to have knocked out power in some areas around the blaze.

Traffic was being diverted through Goulburn and motorists have been asked to avoid the area. Main roads through the town were congested for several hours as the Hume Highway remained closed.

The NSW Rural Fire Service elevated the alert level to watch and act, before dropping it to alert around 4.45pm. The fire is believed the fire has burnt out five hectares.

South Hill property owner Roland Gumbert said there were fires to the left and right of his place on Garrorigang Road but as far as he could see, the blaze was under control.

“We don’t have any damage to our place, except for perhaps fences,” he told the Goulburn Post.

“I can see some stumps burning [not on his property] but all our buildings and equipment are fine.”

NSW Southern Tableands RFS zone manager Ian Kennerley said 70 personnel and 20 appliances were onsite and that the fire had jumped the highway and moved over to South Hill. It was heading towards the river and the railway line.

Mr Kennerley was confident crews were getting on top of the fire and was hoping for a drop in the wind.

NSW Fire and Rescue were waterbombing South Hill near the homestead where several tankers were onsite to battle the flames. They were also waterbombing the northern side of the highway as trees were alight.

Earlier on Friday, the Emergency Services Agency warned Canberrans to prepare for a high fire risk amid potentially damaging winds.