Typically held in July each year, the Regional Tourism Awards recognise the efforts of local businesses in promoting the bush as vacation options.

Destination Riverina Murray representative Richie Robinson told The Daily Advertiser that while it is disappointing that there will be no standalone awards this year, he does hope Riverina businesses will be represented at the state [Destination NSW] awards.

"The regional tourism awards have been running a while now, and this year it is unfortunately unable to go ahead due to [a lack of] funding," he said.

"We have had many successful local businesses compete in the state and national awards in the past, so this doesn't mean that they can't apply for the state awards this year.

"We think the Riverina's businesses are more than capable of competing on the state level."

Bundyi Cultural Tours owner Mark Saddler has won multiple Riverina Murray Regional Tourism Awards, including the gold for Indigenous tourism for the past two years.

He believes the cancellation is a slap in the face for hard-working tourism operators in regional areas.

"Tourism in the Riverina is suffering," he said.

"We're trying to rebuild the regions and encourage tourism in the wake of the fires and yet we've lost the awards that recognise the work of tourism businesses."

For Mr Saddler, the primary function of the annual event was not the actual awards, but rather the networking opportunity it offered.

"Shutting down the premium awards for our area means we have to compete with the big cities where there are multi-million dollar business," he said.

"It just hurts regional areas and it's a shame the recognition isn't there for operators who have small budgets and are mostly self-funded like I am."

The Regional Tourism Awards committee made the announcement this week via social media, explaining that the awards have typically "run on an extremely tight budget under the management of a volunteer board".

Though this is not the first time the awards have taken a hiatus. In 2017 the awards were also cancelled while new legislation was brought in to stabilise the state's tourism industry.

This time, however, the hiatus is indefinite.

"We are unsure of when we would be able to restart the awards," Mr Robinson said.

"It has been on hold before, and I'm confident it will continue either next year or the year after."

But even just a year's loss could set a bad precedent, said Mr Saddler, who believes the the decision is a death knell for the Riverina's specific tourism flavour.

"You lose the identity of your area when you're in with the city groups," he said.

"There's hundreds of people there [in the city awards], we need to keep our bush tourism alive."

With the award ceremonies typically held in the Central West or Riverina Murray locations, Mr Saddler also argues that the annual showcase is itself a tourism-driving venture that will be missed this year.

"Regional [award ceremonies] gives local small operators recognition and exposure," he said.

"It's not about the actual award, you lose the ability to be seen."