It would be Australia’s biggest and house up to 5,000 prisoners, the Daily Telegraph reported.
Three sites have reportedly been identified in the Wollondilly area, south of Campbelltown, for the privately built and operated super prison.
However, the NSW spokesman for the Public Service Association criticised the move.
“I don’t see that a privately run prison is in any way in the public interest,” Steve McMahon, a prison officer, told ABC radio. “There’s not a level of transparency that the public deserve.