The disgraced former New South Wales Labor MP Eddie Obeid has been granted parole after serving three years in prison for his conviction over misconduct in public office.

Obeid was convicted and sentenced in December 2016 to five years in prison with a non-parole period of three years.

The former powerbroker, 76, whose Terrigals subfaction dominated the NSW right, was found guilty of failing to disclose his family’s business interests in cafe leases at Sydney’s Circular Quay at the same time as he was lobbying a senior bureaucrat about the issue.

As well as the 11 standard parole conditions, the State Parole Authority ordered that Obeid “not engage in any activity paid or unpaid involving the control of money or assets of other people or organisations”.

The standard conditions include being of good behaviour, adapting “to normal lawful community life” and complying with directions from a Community Corrections officer. Those directions cover drug and alcohol testing and not associating with specified people or visiting specified places.

Obeid cannot leave NSW or Australia without permission.

Reasons given for the parole decision included the former MP’s age and the fact the sentence was his first time in jail.

Community Corrections also recommended parole in its pre-release report.

Obeid had demonstrated “satisfactory prison performance”, had suitable post-release plans in the community and had limited access to programs and counselling in custody, the SPA said.

The earliest date of his release will be 14 December, it said.