"The Australian Petroleum Production and Exploration Association (APPEA) says new investment by the coal seam gas industry will be critical to the NSW Government, and indications are that this means an expansion of coal seam gas exploration in the Myall Lakes and Manning regions," Mr Oakeshott said.

"The NSW Budget papers allocate $2.1 million to develop a land-use policy 'to grow the mining sector' for coal and coal seam gas, and I know many local residents who will be concerned about this.

"At six recent open community forums, coal seam gas exploration in the region was top of mind for many, and I am surprised Mr Bromhead has chosen to ignore these concerns," Mr Oakeshott said.

"The clean water network of several 100 rivers and tributaries throughout our region should surely be treated with upmost caution.

"I found nothing in the State budget that showed Mr Bromhead had advocated the concerns of the Manning basin to the NSW Government.

"He urgently needs to clarify his view on coal seam gas in the Manning and how it aligns with NSW Government announcements in the budget papers to expand coal-seam gas," Mr Oakeshott said.

Meanwhile, a Private Member's Bill aimed at protecting Australia's water resources from mining activities, is to be introduced in the federal parliament on Monday.

New England independent Tony Windsor and Lyne independent Rob Oakeshott will seek to amend the Environment Protection and Biodiversity Conservation Amendment (Mining, Petroleum and Water Resources) Bill 2011, which would provide heavy penalties for any mining action that has, will have, or is likely to have a significant impact on the water quality, structural integrity or hydraulic balance of a water resource.