FLOOD levels are yet to peak in parts of Victoria, with the army due to arrive in the state's north-east as the worst flood in more than a decade takes its toll.
Thousands of Victorians were affected and a damage bill in excess of $10 million looms for insurers after storms and soaking rain lashed the state over the weekend.
About 250 homes were affected by yesterday but more evacuations are expected today and tomorrow, with swollen rivers around Wangaratta, Shepparton, Horsham and Sale yet to reach their peak.
Six relief centres have been established in the worst-affected areas, including Shepparton, Bendigo, Ballarat and Horsham.
The federal government will send 50 Australian Defence Force members and vehicles to the Shepparton area today. They will join 150 extra police and about 600 SES volunteers working to manage and mop up the flood waters.
Premier John Brumby, who visited Wangaratta yesterday, said people who were unable to return to their homes may be eligible for immediate emergency assistance grants of up to $1060, while means-tested personal hardship grants of up to $26,000 were also available.
Residents in some flood areas have been told to drink bottled water or boil their water as a precaution against sewage overflows into river systems.
Mr Brumby said Victoria's new telephone emergency alert system - developed after the Black Saturday bushfires - had been used seven times to warn 51,000 Victorians of flood threats.
Towns mopping up after flood waters peaked yesterday include Euroa, Myrtleford, Bright and Mount Beauty. In Benalla, about 10 properties were evacuated after water levels peaked at four metres yesterday morning, according to the State Emergency Service.
About 40,000 people started Sunday without power after strong winds brought down power lines. SP Ausnet spokesperson Joe Adamo said most households were expected to have power restored by late last night.
The wild weather played havoc with V/Line timetables in the worst-affected parts of the state, with roads becoming unpassable for the Wangaratta and Bright coach. The service has been suspended until further notice.
Strong winds also damaged power poles around Watergardens, affecting Metro and V/Line train services between Watergardens and Southern Cross Station.
The Insurance Council of Australia declared a state of catastrophe yesterday and established a taskforce to work with governments and a 24-hour hotline to manage the high volumes of calls from policyholders.
Bureau of Meteorology senior meteorologist Terry Ryan said there was more rain to come this week - although not in the same volume. Today's showers of about 10 to 15 millimetres will be followed with falls of 15 to 20 millimetres forecast for Thursday.
He said many places around the state had recorded their average rainfall for September over the weekend.
Bureau data of rainfall for the seven days to 9am yesterday showed the heaviest falls were concentrated in the state's north-east (Mount Buffalo, 246 mm; Harrietville, 138 mm; and Mount Hotham, 166 mm) and lower north-east (Mount Tabletop, 129 mm, and Strathbogie North, 131 mm).
''This is seriously heavy rain for Victoria,'' he said. ''And it comes when the catchments are wet with about average falls in August, so there's a lot of run-off.''
In contrast, Melbourne, Mitcham and Monbulk received 24 millimetres in the same seven days, while Altona recorded eight millimetres and Springvale 12 millimetres. Melbourne's water storages were 42.5 per cent full on Sunday.
The rainfall was accompanied by high westerly winds between midnight and 3am Sunday, with much of metropolitan Melbourne experiencing ing winds in excess of 100km/h.
In other parts of the state it remains a waiting game. In the far north, Barmah Caravan Park owner Cheryl Ellis said that while it would be days before the rains made it down the Murray to Barmah, she had notified siteholders below the levy bank that a flood could occur on Wednesday or Thursday.
However, despite the potential for disruption, she said there was a silver lining.
''As far as the state is concerned, this is a flood we needed to have,'' she said. ''The land is getting a badly needed drink and that will get us through the next year or so.''
The famed red gums in the nearby state park have weathered a decade of drought and while none have been lost, the trees are showing signs of stress.
''This water is just an absolute gift,'' Ms Ellis said. ''This inundation will be fantastic for them.''
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