School fees will not rise in 2020 in Catholic schools in Wellington and other parts of the Diocese of Bathurst.
The capital works levy paid by parents will also be frozen.
Catholic Bishop of Bathurst Michael McKenna has considered advice from the diocesan Catholic Education Council and Finance Council in moving to help families during the drought, despite "the rising costs of education".
"As the severity of the drought worsens, I am well aware of the brutal impact it is having on communities whose livelihoods are dependent on rain," he said.
"As I have said publically on numerous occasions, the provision of affordable Catholic schooling, especially for those in need in this time of drought, should not be an added burden to the financial strain of families."
Bishop McKenna is also reminding families "suffering financial hardship for any reason and finding it difficult to pay school fees" to reach out to school principals.
"A family's financial situation should never be a barrier to accessing or continuing a student's enrolment in a Diocese of Bathurst school," he said.
"It is hoped that this goes some way to assist families in the diocese and demonstrates the ongoing commitment to making a quality Catholic education affordable for all."