The service, a division of Valley Industries, has welcomed a new range of machinery, including solar panels, LED lighting, extraction, cleaning and cooling fans, a new boiler, compressor and towel folder.

The upgrade was funding through the company and a federal government regional jobs and investment package grant.

Employees have experienced a rise in output, with the machinery increasing production by 80 kilograms of linen per hour.

The new boiler is the first of its kind in Australia, with its unique design cutting gas usage by a quarter.

The installation of solar panels has significantly improved efficiency, reducing power use by 65 to 70 per cent.

If any machine was to be out of action for a period of time, the expansion ensures production won't be hampered. That's welcome news to Valley Industries chief executive officer Trent Jennison.

"It would allow for a continuation of service," he said.

The expansion has opened up more opportunities for supported employees (people with a disability).

"Having a job provides significant improvements to the health, well-being and social outcomes of people with a disability who may otherwise be largely disengaged from society," Mr Jennison said.

With more infrastructure and services in the pipeline for the area, such as aged care facilities, the new machinery will be able to cater for more clients.

Lyne MP Dr David Gillespie said the business fitted the criteria for a positive injection to the local economy.

"All business were eligible to apply, with the grants given to those who can provide the best value for money for growth, jobs and investment," Dr Gillespie said.

Valley Linen has been based in Taree for about two and half years. It caters for businesses such as motels, nursing homes, hospitals and restaurants between the Great Lakes and Johns River.

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