The NSW State Parole Authority (SPA) has granted parole to disgraced former NSW Labor minister Eddie Obeid after a private meeting.

Key points: The SPA said Obeid had "demonstrated satisfactory prison performance"

The SPA said Obeid had "demonstrated satisfactory prison performance" He was a member of the NSW Upper House from 1991 to 2011

He was a member of the NSW Upper House from 1991 to 2011 His conviction relates to cafe leases he held secretly at Circular Quay

The decision means Obeid, 76, could be released from prison as early as December 14.

He was in 2016 convicted of misconduct in public office and jailed for five years, with a minimum non-parole period of three years.

Obeid's conviction came after he failed to disclose his family's business interests in cafe leases at Sydney's Circular Quay.

Obeid was also lobbying a senior bureaucrat about the rights of waterfront retailers in 2007 when he was a member of the NSW Upper House.

He served as a NSW MLC from 1991 to 2011.

He was Minister for Fisheries and the Minister for Mineral Resources before retiring in early 2011 due to family reasons.

Obeid's suits were swapped for prison greens in 2016. ( ABC News: Bernd Heinrich )

In a statement, the SPA said Obeid had "demonstrated satisfactory prison performance".

The SPA also took into account Obeid's age and the fact it was his first incarceration.

Obeid's parole conditions stipulate he must not "engage in any activity paid or unpaid involving the control of money or assets of other people or organisations".

He is also required to alert a community corrections officer if he changes his address, contact details or employment during his parole.

Obeid is not permitted to leave the state or country without permission from the authorities.