Gladys Berejiklian says other states should follow NSW's example and "lift their game" on energy policy following reports of a state government proposal to legislate emissions targets.
On Thursday, NSW energy minister Don Harwin sent a discussion paper to the Council of Australian Governments Energy Council calling for states to be required to meet emissions reduction targets under rewritten national energy laws, the Saturday Telegraph reported.
They should be consistent with Australia's commitment under the Paris climate agreement, Mr Harwin reportedly said in the memo, which was jointly authored by NSW and South Australian officials.
The laws should also be flexible enough to allow for increases in targets under the agreement over time, he said.
While there are concerns the move could increase power costs, Ms Berejiklian has told reporters her government's energy policy had put downward pressure on bills compared to other states and kept NSW resilient and energy secure.
"I want to see other states lift their game frankly, and that's what we've been vocal about as a state, Ms Berejiklian told reporters on Saturday.
"Whenever we've met with other ministers or other states our position has been, NSW is doing the right thing, we're relying on all forms of energy and other states should do the same," the premier said.
Other states have moved too quickly to renewable energy and as a result have experienced power shortages and have had to shed loads, she said.
"We've generated power in a responsible way and we'll continue to do so and I call on the other states to act like NSW has and be more responsible," Ms Berejiklian said.