Organiser Peter McCormack said on Thursday it was due to uncertainty surrounding the coronavirus pandemic.

Mr McCormack said they could not guarantee people's safety and were struggling to get sponsors for the annual December 31 celebration at Waratah Sports Ground.

"We can't police an area that large," he said.

"It is too large an area for us to keep everyone safe."

Mr McCormack said they needed to lock in sponsors to be able to pay for the fireworks and other costs in advance.

He said if the event was cancelled after sponsors had provided funds their money would be lost as it would have already been spent.

Mr McCormack said the fireworks providers required non-refundable payments.

"We can't get sponsors. I think it would be hard for me to get sponsors to say yes anyway," he said.

Mr McCormack said the event attracted about 3000-4000 people every year.

"This would have been our eighth year," he said.

It is the latest in a growing list of Orange events that have had to be cancelled due to the coronavirus this year.

They include the Orange Show, the Orange Wine Festival and the Australian National Field Days at Borenore.