Caravan destroyed by fire at Carcoar Dam | Photos

A retired couple travelling through NSW have had their holiday plans ruined after a fire destroyed their caravan at the popular Carcoar Dam recreation area.

Canobolas Zone RFS received a call at 9.45 this morning and a unit from the Carcoar brigade and a group officer attended the fire.

Initial calls mentioned a gas bottle explosion as the cause of the fire, however investigations have indicated that the initial cause was a battery charger that had over-heated.

The gas cylinder exploded during the height of the fire.

An RFS spokesperson said that both the occupants, and their dog, were safe.

"By the time the brigade reached the park it was a fait accompli and all they could do was help quell the fire with extra water,' she said.

"The couple were able to save a few personal items, but it's a terrible thing to happen when you're on your holiday and far from home."

The couple are currently working with local support agencies to find accommodation