The Upper Hunter Council will debate whether coal and gas mining should be banned in the shire at an extraordinary meeting after the council's Development and Environmental Services Committee considered representations from thoroughbred breeders.
The breeders are recommending that the council support their 10-point plan, which includes the recognition that their industry is “state significant” while all other mining activity in the shire would be assessed on its merits.
The Hunter Valley Thoroughbred Breeders Association welcomed the decision of the committee.
"We were pleased that the councillors accepted a recommendation to support all of the points on our 10-point plan," association spokesperson Hellen Georgopoulos told ABC radio.
"The issue for debate is what we presented to council last week and that is whether the Upper Hunter Shire Council will take a position on whether it should be mine-free.
"I think that is a further discussion we need to have with them."
Committee member, councillor Pam Seccombe said a ban on coal and gas mining now needed to be debated by the council.
"My personal belief is it is time to have no coal mining, no coal seam gas mining in this shire," she told ABC.
"We have got something very precious here we need to protect, we have got established industries we need to protect, and I think we should be taking a stand.
"I think now is the time to take it, with a change in government potentially coming, we have an opportunity to really see what we can do to protect our area."
Last year, NSW Premier Kristina Keneally announced that the government would not approve the 36 million tonne per annum Bickham mine in the Hunter because it was “not compatible” with the horse-racing industry.
The local horse breeders, which include retail billionaire Gerry Harvey, mounted a high-profile campaign against the mine at the time.
“This decision gives the state’s thoroughbred industry the increased certainty it needs to continue to harness the dynamic global market of which it is a leader,” Keneally said.
“We will not jeopardise the growth of this important Australian export industry.
“Furthermore, this mine is simply not compatible with the unique rural characteristics of this locality, including the horse-breeding industry.”