“A one-stop shop will eliminate duplication, deliver more timely approvals and enable Australian businesses to expedite their work,” a joint statement by Prime Minister Tony Abbott and NSW Premier Barry O’Farrell said.

“It will mean only one approval is needed, not two.”

The federal government aims to sign all states and territories onto the plan within 12 months.

The NSW Minerals Council said the MOU was another step towards returning investor confidence to the state.

“Over recent years the approvals process in NSW has become overly bureaucratic and cumbersome, making our state less attractive for investment,” NSWMC chief executive officer Stephen Galilee said.

“This MOU signals the commitment of both the NSW and Federal governments to maintain strong environmental and community protections while restoring investor confidence in this state.

“We look forward to seeing fast progress on delivery of these promised reforms, so that the words expressed in the MOU are matched by real action.”