The incident, allegedly sparked by a dispute over barking dogs, led to the man dying in Parkes hospital.

Addressing the media on Tuesday, Central West Police District Superintendent Chris Taylor said it was an incredible tragedy, one made even worse by the fact it was an unregistered firearm.

VIDEO: Police speaking about the Parkes murder ...

"The victim's family is devastated and so is the family of the accused," he said.

Supt Taylor said the shooting resulted from a dispute between a couple of neighbours in relation to barking dogs.

"The victim took some actions which resulted in the accused arming himself with an unregistered shotgun and then they confronted each other," he said.

Police arrested 18-year-old Parkes man Nathan Joseph Price and on Monday night charged him with murder and firearms offences.

MAP: The street where the incident occurred ...

Supt Taylor said the accused and the victim were acquaintances but they weren't friends.

"They were known to each other because they lived in the same street," he said.

"There was only one shot fired and it would seem it might have been at reasonably close range.

"It just goes to show that unregistered firearms in the wrong hands or any firearms in the wrong hands can cause tremendous damage in the community."

Price appeared before Magistrate Ellis in Orange Local Court on Tuesday.

He did not apply for bail and bail was formally refused.

The matter was adjourned to Parkes Local Court on Monday, August 19.