Inspector of Public Works – John Macarthur/Richard Atkins
Events
A pen and wash drawing of Sydney in 1796
16 January – Australia's first theatre opens in Sydney. Edward Young's The Revenge and the comedy The Hotel are the first works performed.
23 January – The distillation of spirits is prohibited.
5 February – Soldiers from the New South Wales Corps wreck a house belonging to millwright John Baughan.
10 February – Magistrate William Balmain challenges Macarthur over the house-wrecking incident.
29 February – Macarthur resigns as Inspector of the Public Works and is replaced by Richard Atkins.
June – George Bass makes an unsuccessful attempt to cross the Blue Mountains. Coal is discovered near Port Stephens.
14 September – Governor Hunter complains to the Colonial Secretary of Macarthur's behaviour.
15 September – Macarthur complains to Colonial Secretary of Hunter's governing.
9 November – As Sydney grows, Hunter disbands the convict night watch. He divides Sydney into four districts responsible for their own watchmen and orders houses to be numbered.
