NSW approves Morrison government?s $600m Kurri Kurri gas-fired power plant

The NSW government has approved the construction of a $600m gas-fired power station backed by the Morrison government in the state's Hunter region.

Snowy Hydro's application to build the 660-megawatt power station in Kurri Kurri was approved by Rob Stokes in one of his final decisions as the state's planning minister before Anthony Roberts takes over the portfolio.

The Morrison government announced in May it would spend up to $600m on the project after warning it would step in if the private sector did not commit to building 1,000MW to replace the Liddell coal-fired generator in 2023.

The NSW government declared the project critical state significant infrastructure and fast-tracked its environmental assessment.

The government confirmed on Monday night it had approved the project after the NSW planning department earlier emailed stakeholders - apparently in error - to notify them of the approval.

A spokesperson for the NSW department of planning, industry and environment said the plant was approved "following rigorous assessment and consideration of community feedback".

The power station will be built on part of the site of the former Kurri Kurri aluminium smelter, which ceased operations in 2012 and has since been demolished.