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The Rat Hills Conflagration was a large fire in the Rat Hills garbage dump located south of the city of Waterdeep in the Year of the Shield, 1367 DR.

It was accidentally started by the Confluence in a failed attack against the Unseen. Waterdhavian guard patrols got involved when they spotted what they thought was a group of evil will-o'-wisps in the blaze. They engaged the wisps but did not realize that the group also contained some similar-looking nyths, which explosively reproduced in fire. The Waterdhavians killed the wisps but two guards were lost when the nyths began to reproduce.

The nyths went on to inhabit the Rat Hills and, as the Retreat of the moon elves from Ardeep meant that the monster population in the abandoned realm was left unchecked, they infested the Ardeep Forest as well.

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