The council has waived the fee for businesses for the next financial year and, if this year runs successfully, it may look into the waiving of the fee again in the future.

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A council spokesperson said it was waiving the fees "while the shire suffers difficult economic times due to drought".

"This applies for a period of 12 months and then a report will be brought back to council about the outcome. Councillors will then be able to assess whether it is something that would need to be done again in the future," they said.

"Those who apply during this period will then not need to re-apply for a period of more than five years."

The spokesperson said waiving the 12-month fee was in keeping with the council's adoption of the NSW Outdoor Dining Policy.

"The policy recommended the waiving of application fees when seeking a permit," the spokesperson said.

"Businesses who want to carry out street vending will still need to lodge an application with the council and include a copy of their public liability insurance."

It comes after Liverpool Plains Shire Council (LPSC) waived its fee permanently in order to "simplify the approach for outdoor dining approvals ... resulting in lower costs and compliance burdens on small businesses".

Businesses in the LPSC area will never need to pay the fee again while ever they reapply for the licence.

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