Conrad Gargett, a major Australian architectural practice with a significant health portfolio, having delivered health projects nationally including the Gosford Hospital Redevelopment, Tamworth Hospital and Queensland Children's Hospital has been appointed to the $438 million project.

"This is an important step in delivering a modern hospital for our growing Shoalhaven region," Kiama MP Gareth Ward said.

"The long-term vision for the hospital is that it will be the hub for the Shoalhaven area, providing the majority of emergency, critical care, acute, sub-acute and non-admitted services."

There has been growing calls within the Shoalhaven to actually relocate the current hospital to a new greenfield site, rather than undertaking the redevelopment of the current location.

Something Mr Ward has been opposed too.

Read more:

Mr Ward said the upgraded hospital would also reduce the need for patients to be transferred to Wollongong or Sydney.

"It will improve our local community's access to a greater range of services and takes into account the demands of population growth and associated health needs well into the future," he said.

South Coast MP Shelley Hancock said the NSW Government announced a fast-tracking of the redevelopment by investing an additional $4 million, bringing the total funding to $438 million in November.

"The funding boost supports the acquisition of Nowra Park to provide for the expansion of clinical services at the hospital," she said.

"It will also allow planning activities to progress, including detailed site investigations and design.

"Nowra Park has long been viewed as a strategically important health precinct, which is why the NSW and Commonwealth Governments have invested significantly in the area."

That includes the $32 million Shoalhaven Cancer Care Centre, which opened in 2013, and the GP super clinic, which opened in 2014 and "are important features of the site", which are now serviced by the new $11.8 million multi-storey car park, completed in March 2020.

"Extensive consultation with staff, medical specialists, residents and the community was conducted when the first stage of the zonal masterplan was released in 2017," Mrs Hancock said.

"The next phase of master planning is set to start in early 2021, and will be followed by community information sessions.

"Building a hospital of this size requires intensive and in-depth planning and takes a considerable amount of time.

"All of our plans for the new hospital have been developed in partnership with our clinical teams and with the valuable input of health care consumers."

The Illawarra-Shoalhaven Local Health District is committed to community engagement throughout the planning and design phases of the project.

It is expected activity on site will start this year, with construction to start on the redeveloped hospital in this term of government, prior to March 2023.