A 10-year limit on storing frozen embryos created using donor sperm has been dropped by the NSW government, after complaints the deadline distressed couples and forced clinics to unnecessarily destroy embryos.

Women who had embryos in storage when the law came into effect in 2010 will now be exempt from time limits.

Limits changed: An IVF embryo.

The regulation change by Health Minister Jillian Skinner will also extend the storage limits for frozen sperm from 10 to 15 years.

IVF Australia medical director Peter Ellingsworth said the 10-year storage limit was "totally arbitrary", and every year the clinic sent letters to the health department on behalf of families to request an extension.