"Buses are on site and are operating a replacement service between Wollongong and Albion Park in both directions."
UPDATE | A car was hit by the train at the West Dapto Rd intersection. Significant damage has been done to overhead wires. Rescue of the train driver is ongoing. pic.twitter.com/792vtdRbNK
"Passengers are also advised to allow plenty of extra travel time, listen to announcements and check information displays for service updates," Transport for NSW said.
Fire and Rescue NSW said a car was hit by the train at the West Dapto Road intersection.
"Significant damage has been done to overhead wires," FRNSW said.
A passenger named Mick told 9 News that it felt like a "trampoline" when the train hit the stationary car and that passengers were bumping around.
An investigation is underway into the cause but police were looking into whether the car had been deliberately parked on the rail line.
The incident occurred just south of Wollongong. Photo / NSW Fire & Rescue
Meanwhile Sydney's public transport network is expected to suffer through major disruptions on Wednesday as some train workers get set to walk off the job.
Rail, Tram and Bus Union NSW members will strike over what the union claims is senior management's refusal to meet with them as they negotiate a new bargaining agreement.