Australia's biggest music festivals are threatening to pull out of NSW, accusing the State Government of "endless nanny state interference".

Key points: New laws proposed for NSW would place strict criteria on "high risk" festivals

New laws proposed for NSW would place strict criteria on "high risk" festivals There were five drug-related deaths at NSW music festivals last summer

There were five drug-related deaths at NSW music festivals last summer Festival organisers have accused the Berejiklian Government of playing politics with their livelihoods

Laneway Festival, Falls Festival and Splendour in the Grass are among a coalition of music festivals that say they have been left with no choice but to "consider their options" regarding relocation.

The Australian Festival Association (AFA), which also represents Groovin the Moo, Listen Out and Field Day, met with the NSW Government yesterday to express concern about proposed new laws.

Legislation to reinstate the controversial licensing scheme for music festivals was pushed forward by the NSW Government last week.

The new laws would make "high-risk" music festivals prepare a safety management plan.

About 11 of 90 music events in NSW would be considered "high risk".

If the laws pass, the festivals would be subjected to heightened criteria covering emergency medical workers, security and other conditions such as patrons' access to water.

The AFA said the Government was committed to further consultation after the passage of the bill.

However, they were angry the NSW Government had refused to commit to an industry roundtable.

"Without entering into meaningful engagement with the industry, the Government is condemning the future of festivals not only operating successfully but thriving in NSW," said Rod Little, co-director of Cattleyard Promotions.

"It will be music-lovers in NSW that will ultimately miss out."

Tim Levinson, better known as hip-hop artist Urthboy, said the uncertainty had a punitive effect on its businesses, the economy, jobs and tourism in live music in the state.

"NSW has the opportunity to stop playing politics with our businesses and livelihoods," he said.

"The live music industry has managed to flourish for decades without this endless nanny state interference.

"Let us get on with making the state a culturally vibrant destination."

The regulations were introduced in March and passed NSW's Lower House, but Labor and the crossbenchers conspired to defeat the regulations in the Upper House.

There were six drug-related deaths at music festivals in NSW from September 2018 until early this year.