The emergency situation has worsened in Broken Hill after the diesel generator supplying electricity to the region tripped yesterday afternoon.
Residents have spent the night without power, while critical infrastructure including the main hospital was taken offline.
The Minns Labor Government has ignored warnings from locals who feared this could happen, after it was revealed the town's second generator was out of action due to a lack of maintenance.
Communities across western NSW have been suffering for five days, dealing with rolling blackouts and brownouts, since a tornado brought down seven transmission lines.
NSW Nationals Leader Dugald Saunders said this is affecting homes and businesses including the local mine which provides 500 jobs.
"We know joint Commonwealth-State disaster recovery funding arrangements have been announced for councils to cover the cost of the cleanup and to restore essential public assets, but this doesn't go far enough.
"Locals and businesses are struggling and need to be provided with every support available to get them back on their feet.
"The Premier also needs to ensure critical services like the hospital, aged care facilities and schools are running at 100 percent, particularly for vulnerable residents and students who are trying to sit their HSC," Mr Saunders said.
The NSW Nationals are calling for a natural disaster to be declared in the Broken Hill region in the wake of the tornado.
Mr Saunders said such a declaration would help residents and businesses recover by allowing them to access special assistance measures.
