The new system came into affect at 6pm on Monday, however there was a delay in residents being able to apply for permits through Service Victoria.

Mr Andrews said the new permit system allows Victoria's Chief Health Officer Brett Sutton to designate regions in other states as red, orange or green zones, depending on the COVID-19 risk.

We've broken down the new system and what it means for you below.

Under the new traffic light system residents from every state and territory must apply for a permit to enter Victoria.

Border bubble residents are exempt and do not need a permit to enter Victoria.

The type of permit required depends on whether you are travelling from a red, orange or green zone.

COVID-19 hot spots or areas of concern will be classified as red zones. Currently Greater Sydney and Brisbane are the only red zone in the country.

People who have visited red zones will not be allowed to enter into Victoria.

Travellers from orange zones will have to apply for a permit to enter Victoria and be tested for COVID-19 within 72 hours of arrival in Victoria.

They must isolate until a negative result is recorded.

Those from orange zones will not be allowed into the state if they have coronavirus symptoms or if they have visited a red zone. Currently, all of regional NSW is considered an orange zone.

People in green zones must also apply for a permit to enter Victoria, but do not need to isolate or get tested when they enter the state.

Currently Western Australia, South Australia, Queensland, Northern Territory and ACT are all green zones.

No, if you live in the border bubble you do not need to apply for a permit.

Border residents can continue to cross into Victoria by showing their driver's licence or other accepted ID at border checkpoints.

In Victoria the border bubble consists the following local government areas - Alpine Shire, Rural City of Benalla, City of Greater Bendigo, Buloke Shire, Campaspe Shire, East Gippsland Shire, Gannawarra Shire, Indigo Shire, Loddon Shire, Rural City of Mildura, Moira Shire, City of Greater Shepparton, Rural City of Swan Hill, Towong Shire, Rural City of Wangaratta, City of Wodonga and Yarriambiack Shire.

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In NSW the border bubble consists of the following local government areas - Albury City, Balranald Shire, Bega Valley Shire, Berrigan Shire, City of Broken Hill, Edward River Council, Federation Council, Greater Hume Shire, Hay Shire, Lockhart Shire, Murray River Council, Murrumbidgee Council, Snowy Monaro Regional Council, Snowy Valleys Council, City of Wagga Wagga and Wentworth Shire.

If you live in any of these municipalities you don't need to apply for a permit to cross into Victoria and do not need to be tested or quarantine upon entering Victoria.

However, NSW and Victorian bubble residents who have travelled beyond the border bubble on the NSW side in the past 14 days will not be allowed to enter Victoria.

Yes, Victoria's border with NSW remains closed though border residents can cross for any reason as long as they show their ID.

Residents from green and orange zones who have obtained permits can also cross the border.

Police will continue to man the border.

"The border will still be patrolled - Victoria Police are doing a very good job," Mr Andrews said.

People from outside the border zone who do not have a valid permit face a fine of $4,957.

Victorian and NSW border bubble residents who travel beyond the bubble into wider NSW will not be permitted to cross into Victoria within 14 days.

If you need to travel beyond the border for healthcare, you will need to apply for a permit to return back into Victoria.

Yes, both NSW and Victorian bubble residents can travel freely throughout the entire state of Victoria.

"There are no restrictions on NSW border bubble residents travel within Victoria if they have not travelled north of the bubble border, but it is recommended that travel only be as far into Victoria as necessary," DHHS says.

CHO Brett Sutton warned that the zones could change rapidly based on public health advice and coronavirus risks.

Mr Andrews said people need to be aware they could become stranded if conditions change while they are travelling interstate.

"When you are making a judgment about whether you're going to travel to other parts of the country, you have to at least give some thought to the notion that there could be an outbreak and your plans may well be impacted," he said.