The New South Wales Government has given a preliminary tick of approval this week for James Packer’s casino-hotel proposal for Barangaroo first outlined by him in February.

Premier Barry O’Farrell has offered his support for the project, and says his cabinet will consider the plan under its new "unsolicited proposals" policy.

NSW Shadow Minister for Infrastructure Luke Foley has also endorsed the proposal, although with a condition there are no poker machines.

The Greens, however, oppose the project warning of an increasing government reliance on gambling revenue and more problems resulting from gambling addiction.

Wendy Bacon - a contributing editor with independent online media journal New Matilda - has been following this story closely.

She spoke with 2SER’s Rory O’Gorman.