The Hunter Region's economy and quality of life could thrive as a result of the shift to net zero as well as sustain the region's role as the state's energy provider, the Committee for the Hunter believes.
But in its submission to the state government's draft Energy Policy Framework, the committee says it is essential that the new framework does not embed further costs, delays and uncertainty regarding the shift to clean energy.
It stresses the need for planning reforms to incentivise clean energy investment and development in NSW and the Hunter when coordinated with other measures.
In particular, it highlights the importance of a streamlined planning framework in the evolution of the Hunter's hydrogen sector.
"As a contestable network of energy assets, NSW relies on private sector investment to achieve its climate and clean energy objectives and commitments at the scale and speed required," the submission says.
"With the state's remaining coal fired power plants scheduled to close within 16 years, NSW is running out of time to get this right and be competitive with other states and nations facing the same challenges in the global race for new energy infrastructure investment."
The committee has also called for the removal of maps for desirable areas for wind and solar projects and instead allow site specific features, development assessment processes and project feasibility to determine the suitability of locations for clean energy infrastructure.
It also wants the introduction of guidelines requiring wind and solar developments near regional areas to ensure urban land conflicts and impacts on urban growth potential are not significant.
"In order for this to be effective in high growth regions like the Hunter and not unduly quarantine land from clean energy development, the NSW Government and Department of Planning must get better at providing longer-term and strategic direction on where development and public infrastructure investment will go, when, and where it won't, including via the Lower Hunter City Plan and Hunter Regional Plan," the submission says.