A man has been arrested after a large grassfire broke out north of Melbourne.
The 71-year-old Flowerdale man was arrested earlier on Wednesday by local detectives, the Arson Squad and CFA investigators.
He was released pending further inquiries and the investigation is ongoing.
It’s believed the fire started in the Spring Valley Road area on Tuesday afternoon before spreading to nearby bushland.
The blaze has grown to more than 710 hectares in size and is heading in a northerly direction.
An emergency warning was initially issued for Flowerdale residents, although it was downgraded to a watch-and-act message on Wednesday morning.
People in Flowerdale, Dairy Creek, Homewood, Kerrisdale and Strath Creek are being told to monitor conditions and be prepared to act.
More than 50 CFA units and 10 water-bombing aircraft have been battling the grassfire across steep, inaccessible terrain.
No homes have been confirmed as lost although one property was superficially damaged in the blaze, a CFA spokesman told AAP.
Some fencing and sheds may also have been affected by the flames.
Smoke is visible across the area and an incident control centre has been set up at Alexandra, while a relief centre is opening at the Yea Recreation reserve on Wednesday afternoon.
An image posted to social media by the Wonga Park CFA on Tuesday night showed thick terrain glowing bright orange against the night sky.
A heatwave warning has been issued for Victoria and temperatures are expected to reach more than 30C for the next three days.