The port's dredger David Allan had dumped 30,000 cubic metres of sand annually from harbour maintenance works just off the coast of Stockton for many years.

However, it was forced to stop in mid-2022 following a change in the legislation that had permitted the practice.

Under the new legislation "public authorities" are allowed to dump sand off the coast for renourishment. However, the Port of Newcastle is excluded from this because the state government privatised the port in 2014.

NSW Deputy Paul Toole has called for a solution to be found that will allow the port to resume placing sand off the beach.

"If it's happened in the past why can't it continue? We need to work with the port to ensure that that process can occur again," he said.

Department of Planning & Environment and City of Newcastle confirmed this week that they were in discussions with the port regarding the placement of dredged materials from the port's dredging program.

While the government is the owner of Stockton Beach and the breakwall, it requires a local council to manage any beaches in its area on its behalf in a role known as the Crown Land Manager.

"As Crown Land Manager, and to accommodate the receipt of both amenity and mass sand nourishment volumes, City of Newcastle has progressed the design work for sand placement and anticipate having the associated Review of Environmental Factors (REF) finalised within the next couple of months," a City of Newcastle spokeswoman said.

The new placement plans, based on the most recent sand movement study, ensures that sand will be placed in the most effective location.

"These new plans are intended to accommodate the receipt of any and all sources of sand, regardless of the quantity. This includes the smaller volumes of sand sourced from the port's maintenance dredging activities - as well as any future large-scale dredging required as part of new infrastructure development," the spokeswoman said.

Port of Newcastle acting chief executive Simon Byrnes said earlier this month that the port would willingly continue to place the sand off Stockton if it was granted approval by a "public authority".

"Should a public authority obtain the relevant approvals for sand nourishment at Stockton beach, the port is happy to recommence sand nourishment activities where suitable material is identified during the maintenance dredging program," he said.