The new cases reported on Tuesday were detected from just over 71,000 PCR laboratory tests.
But NSW Chief Health Officer Kerry Chant has warned current daily case numbers are conservative because rapid antigen test results are yet to be officially included.
The state will this week move into a dual reporting system for infections that includes positive, self-administered RAT results - reported through the ServiceNSW app - and the normal PCR results.
Health Minister Brad Hazzard told The Sydney Morning Herald on Tuesday the government wants to mandate the reporting of positive RAT results.
His department has sought advice from the Crown Solicitor's Office on how it can be legally enforced.
"The bottom line is it is a must-do, even if there is no fine," Mr Hazzard told the SMH.
"At the end of the day, it's an obligation on all of us to make sure that we log in to the Service NSW app, particularly as it will give a clear picture of how the virus is moving through the community.
"It comes with the added benefit that it might also open the door to federal financial assistance if you're off work for the week."
NSW on Monday recorded its deadliest day of the pandemic, with 18 dead including a three-year-old boy who had significant underlying health conditions.
Another 11 deaths were reported on Tuesday, as virus-related hospital admissions again climbed to 2186.
Some 170 people are in intensive care, about half of whom were unvaccinated.
While the transition to a system that relies more heavily on rapid, at-home tests has been welcomed, the test kits remain in short supply in NSW.
The state government has ordered 50 million tests, with the first to begin arriving this week, and is planning to purchase another 50 million.
The Rail, Tram and Bus Union says some of those tests need to be provided to transport and logistics workers for free.
However, Premier Dominic Perrottet on Monday said the government would focus on providing the tests in other critical areas first.
"Our number one priority is to use the rapid antigen tests that were procured ... in those areas such as schools, social housing, vulnerable communities, indigenous communities... (and) regional and remote communities."
The rest of NSW can expect to see "a substantial amount of supply being available through private supply chains as well", he added.
Meanwhile, a national survey of aged care workers conducted by the Health Services Union has found the sector is severely understaffed, as the health system also faces increasing pressure.
The survey of more than 1,000 workers more than eight in ten believed their facility was unprepared for the current Omicron outbreak, with a similar amount experiencing excessive workloads.
Some 90 per cent said their facility was understaffed, with many reporting a shortage of PPE and rapid antigen tests.
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