The weather bureau says there have been reports of hail stones more than two centimetres in diameter falling in Melbourne this afternoon.
The bureau says the city has been one of the worst hit by a band of severe thunderstorms moving across central and eastern Victoria.
Senior forecaster Richard Carlyon says the hail has been the biggest problem.
"We've had many reports of what we term large hail this afternoon, that is hail above two centimetres in diameter," he said.
"We've had many reports from Melbourne and also around eastern Victoria."
© ABC 2008
17:27 EST Wallsend businesses have welcomed the introduction of a Flash Flood Early Warning system, but say it will not protect their properties from water inundation.