A New South Wales Government taskforce is considering the use of anti-libido drugs to chemically castrate child sex offenders.

The taskforce includes representatives from the Government, victims groups, police, and legal and health experts.

They have been asked to review the use of anti-libidinal treatments in the NSW correctional system and whether they can be expanded.

They will also look at whether chemical castration could be a sentencing option for judges in the state's courts.

Justice Minister Troy Grant said all options needed to be considered so children were protected from abuse.

"One of the worrying statistics that came out of our investigation is that up to 17 per cent of child sex offenders are likely to reoffend in two years," he said.

"We must do everything possible to reduce that figure."

Brett Collins from Justice Action, an activist group that focuses on abuses of authority, said it was a voluntary option for offenders at the moment and the results showed it did not work.

"We actually know that it hasn't been effective for them anyway," he said.

"The issues are much larger ... there are personality issues, there are issues involved with a range of self-esteem issues as well.

"They have to be dealt with in more difficult ways — learning ways of diversion and avoidance, and also dealing with the person as a real person."

He said the move was "clearly intended to be a vote winner".

The taskforce will report to the Government by the end of the year.

Last year, former New South Wales MP Andrew Tink called for an anti-libido drug to be given to sex offenders, citing his own experience taking the medication as a cancer patient.

He said the anti-androgenic medication he was prescribed as part of his treatment for advanced prostate cancer totally suppressed his sex drive, amounting to chemical castration and guaranteeing impotence.