Sydney Airport was this morning dealing with chaos and delays processing passengers at its international terminal, and one of two domestic terminals, after a technical issue that affected CCTV.

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At about 8:30am, Sydney Airport reported they had resumed processing passengers as normal and were "working hard to catch up on delays", a tweet from the company said.

Outbound flights, but not inbound flights, were experiencing delays.

Sydney Airport said the technical issue affected passenger processing at the T1 International and T2 Domestic terminals up until about 8:30am.

"This did affect systems, including our CCTV," they said in a statement.

"The safety and security of our passengers is our number one priority and we are pleased to say that all systems are operating as normal.

"Our priority now is to ensure all passengers are safely on their way."

Commuters were locked out of security this morning as a technical issue caused delays. ( Instagram: @shireshuttlebus )

The other domestic terminal, T3, is operated by Qantas and did not experience the same issue.

Sally Fielke, general manager of corporate affairs at the airport, said T3 was "fully operational" and the problem in the other terminals only affected outbound flights.

"We are experiencing outbound delays while we fix this technical issue which we're working to rectify as quickly as we can," she said.

"We will start some manual processing so flights can start to move."

Ms Fielke thanked passengers for their patience.

"We know this is stressful … please check with your airline but we do expect delays."

Terminal 2 at the Sydney Airport was chock-a-block due to a technical problem delaying check-in. ( ABC News: Rachel Hayter )

Virgin Australia said that "due to a technical issue" passengers were being processed at reduced capacity.

"Virgin Australia is holding flights to minimise any disruption to passengers and working to reaccommodate any affected passenger.

"There may be some delays as a result, however passengers are advised to arrive at the airport as planned for their upcoming Virgin Australia flights."

Earlier this morning, travellers were urged to "avoid" the terminals.

"We're advising passengers and visitors to avoid T1 and T2 until further notice," a tweet from Sydney Airport said at 6:08am.