Laneway organisers are warning its Sydney leg could be at risk of not going ahead, after the festival was deemed 'high risk' by the NSW Government's licencing regime.

Over the weekend, NSW Racing Minister Paul Toole released a list of 14 'high risk' music festivals - including Laneway.

The festivals will need to supply a safety management plan to receive a licence from the Independent Liquor and Gaming Authority.

The Minister said any event where a drug-related death or illness had occurred in the past three years had been automatically included in the list.

However, Laneway organiser Danny Rogers told Hack the event's medical record is better than several other festivals, which aren't on the list.

"In the past 14 years in Sydney we've only had two transports from the festival with over 300,000 people attending the event [in that time]," he said.

"When you put it into context it seems kind of strange and baffling."

When asked if Laneway's inclusion on the list could stop the festival from running again in Sydney, Danny said 'absolutely'.

It's definitely a possibility... Imagine Laneway Sydney doesn't happen?"

Festivals like Listen Out, Field Day, and Midnight Mafia weren't included on the list, despite having drug-related hospitalisations in the past three years.

"Laneway being put on that list really does put every single other contemporary festival in NSW on that list," Danny said.

"If we're able to make it then anyone else can."

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Whatsapp Laneway organisers say the Sydney leg of the event could be at risk.

Danny told Hack Laneway organisers had not been consulted by the NSW government, and were informed of the festival's "high risk" status via text.

"We haven't been told 'this is the matrix we've been working from or these are the reasons why'... we don't really know, this is the crazy and frightening thing."

Festivals listed: Days Like This, Victoria Park, Camperdown, 2019

Transmission, Sydney Showground, 2019

Up Down, Newcastle Foreshore, Newcastle, 2019

Defqon.1, Sydney International Regatta Centre, 2019

Subsonic, Riverwood Downs, Monkerai, 2019

This That, Wickham Park, Newcastle, 2019

Knockout Games of Destiny, Sydney Showground, 2019

Lost Paradise, Glenworth Valley, 2019

FOMO, Parramatta Park, 2020

Electric Gardens, Centennial Park, 2020

HTID, Sydney Showground, 2020

Rolling Loud, Sydney Showground, 2020

Laneway, Callan Park, Rozelle, 2020

Ultra, Parramatta Park, 2020

"There's no transparency in the process.

"There was an opportunity here for the current NSW Government to consult with an industry that generates over $600 million a year in revenue to come up with ways we could potentially improve our safety at festivals."

Festival regime due to come in less than a week

The new regime is due to take effect on March 1 and high risk festivals will be required to provide extra medical assistance and policing.

The list includes festivals like Defqon.1, Knockout Games of Destiny and FOMO where there have been drug-related deaths over the past six months.

On Thursday, thousands of people joined festival operators in protesting the new festival law, saying the licence will lead to skyrocketing, last minute costs for extra services.

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Whatsapp The Don't Kill Live Music rally in Hyde Park on Thursday.

Festival operators and the NSW Opposition have warned the state government that the law could lead to more festivals leaving the state.

Concerns licencing regime will damage festival's brand

Organisers also have concerns that the move will impact the event's brand.

"If you're a parent and your 18 or 19-year-old wants to attend the festival and people are like 'oh that's a high risk event' we don't really know what the brand damage will be," Danny said.

Danny said uncertainty around the new licencing regime is also bad for business.

"Also, just not knowing what hoops we'll have to jump through to get the festival approved.

"The flow on effects of that is that suddenly things like your insurance or merchant bankers start getting really nervous.

"As well as sponsors, potentially artists - in a very competitive landscape, everyone's trying to book talent and suddenly we have an unknown factor, it's quite widespread."

'High risk' festivals now get access to expert advice, NSW Government says

In a statement to Hack, a NSW Government spokeswoman said the 'high risk' festivals will bee regularly reviewed.

"The list of festivals required to obtain a music festival licence will be regularly reviewed and festivals which improve their safety arrangements may be removed from the list. Festivals where a serious drug related illness or death occurs, or where there may be a significant risk of a serious drug related incident or death, may be added to the list," she said.

"The NSW Government will continue to work with operators of higher risk festivals to ensure they have appropriate safety arrangements in place, and can comply with the new licensing scheme."