The Premier Kristina Keneally has announced that the contentious Tillegra Dam project won’t be going ahead.
Ms Keneally told a press conference in Newcastle on Sunday morning that the long-running assessment process had shown it was not appropriate.
However she maintained that a secure water supply was still needed for the Hunter Valley and the Central Coast.
The $477-million proposal faced strong opposition from a number of community and environmental groups.
The NSW opposition had already pledged to scrap the dam if it won next year’s state election.
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