The counsel assisting the NSW Special Commission of Inquiry into Ice has recommended decriminalising personal drug use and possession.

Key points: Among the suggested recommendations are that the Government should increase funding for drug health services

Among the suggested recommendations are that the Government should increase funding for drug health services Instead of charging a person with drug possession, police would direct them to health services

Instead of charging a person with drug possession, police would direct them to health services The inquiry heard from more than 160 witnesses and 35 people with first-hand drug experience

The commission will also be told that a drug-testing trial should be introduced at music festivals and other ongoing fixed locations.

The recommendations are among 104 to be delivered by Sally Dowling SC next month.

Ms Dowling will recommend the New South Wales Government implement a new policy emphasising drug use as "a health and social issue" rather than a criminal one.

Under the proposal, if a person is found with drugs, they would be referred by police to a health service.

The possession of ice pipes would also be legal.

The commission heard from more than 160 witnesses in hearings across regional areas including Lismore, Nowra, Broken Hill and Moree.

A further 35 people with lived experience of amphetamine-type stimulants gave evidence, mostly in private session.

Other recommendations include:

School and non-school drug education on the harms of drug use should be implemented

School and non-school drug education on the harms of drug use should be implemented A pilot needle and syringe program should be included in one or more correctional centres

A pilot needle and syringe program should be included in one or more correctional centres NSW Police should capture data on whether drug use features in a criminal offence

In her submissions next month, Ms Dowling will highlight an immediate need for increased government funding for drug health services to meet "significant unmet demand" across the state.

She will also suggest the Government appoint a dedicated minister to a drug and alcohol portfolio to oversee the implementation of the commission's recommendations.

As part of the plan, that minister would be advised by a group including academics, health and education workers, Aboriginal groups and people with personal experience of drug use.

The commission was set up by Premier Gladys Berejiklian last November and will hand down its findings in January.