That's the view of Independent NSW MP and South Coast resident Justin Field.

While Mr Field welcomed the announcement of the site for a new $720 million greenfield Shellharbour Hospital he called on the NSW Government to explain why a new greenfield option has been ruled out for the Shoalhaven.

The government had originally announced plans to redevelop the existing Shellharbour Hospital, but changed course in late 2020 committing to a new greenfield hospital.

Health Minister Brad Hazzard said at the time:

"...a greenfield site would make the construction easier than trying to upgrade the existing Shellharbour Hospital location.

"When you're building on a hospital site, it's always challenging. You need the hospital to still be working and delivering services.

"If you can build on a greenfield site it will make a huge difference to what you can build and also to make sure there's no interruptions to the existing services that we have at Shellharbour Hospital."

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The announcement will also see expanded health and hospital facilities for the Illawarra including increased bed capacity and services at Bulli and Wollongong and a new community health facility at Warrawong.

"This is great news for the Shellharbour and Illawarra community, but why is the Shoalhaven missing out?" Mr Field said.

"The arguments in favour of a greenfield hospital for Shellharbour are also true for the Shoalhaven."

NSW Health has plans for a $438 million expansion of Shoalhaven District Hospital, which will see the hospital expand onto the nearby Nowra Park, or Recreation Ground as it is locally known.

The Shoalhaven Hospital Action Group (SHAG) has taken up the fight to not only save the parkland but are pushing for the hospital to be relocated to a new more centralised, greenfield site.

NSW Health says planning for the Shoalhaven Hospital has been taking place for more than a decade, with the new and expanded services to include cardiology services, including a dedicated ward, diagnostic centre and coronary care unit; increased surgical capacity, more operating theatres and surgical beds; MRI imaging and nuclear medicine will be introduced; a larger emergency department and enhanced intensive care unit; expanded mental health services, including acute inpatient units and expanded ambulatory care centre and advanced renal dialysis unit, along with new rehabilitation and palliative care services.

"The current redevelopment plans for the Shoalhaven Hospital at Nowra provide little space for expansion in the future to meet our region's growing need," Mr Field said.

"It's also clear there will be disrupted services for many years while the hospital is redeveloped.

"With the current hospital located at the far northern end of the district, concerns are being increasingly raised about the adequacy of services within the Bay and Basin area and at Milton Hospital given the long travel times to access the existing hospital site.

"The investment announced about expanded services across the Illawarra are great, but it raises questions about why the Shoalhaven is being short-changed when it comes to health and hospital services."

He said the proposed completion date for redevelopment of the Shoalhaven Hospitalis set at 2028.

"There is clearly time to rethink this decision and redirect the $438 million commitment towards a new greenfield hospital for the Shoalhaven," he said.

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"We're a community of 100,000 people in the Shoalhaven and growing.

"A greenfield hospital offers the best chance to protect current hospital services while building the services our entire region will need for the future."

Illawarra Shoalhaven Local Health District CEO Margot Mains told a public meeting earlier this year, organised by SHAG relocating the hospital to a new more centralised, greenfield site, would "significantly increase the cost of the project."

"Planning for expanding the current site has been ongoing for more than a decade," she said.

And part of the long-term planning for the current site included almost $65 million in upgrades being undertaken, including the establishment of the Shoalhaven Cancer Care Centre ($31.3 million), a multi-level car park ($11.6m), sub acute mental health unit ($10m), emergency department refurbishment and endoscopy unit ($5m) and GP Superclinic ($7m).

Ms Mains told the meeting a clinical services plan for the expansion had been completed, master planning for the site was continuing, with first site works set to start this year.

"Early work is expected to start on the site this year including ground and services investigations, a site office will be established in the coming months which will allow our project team members to be more accessible to staff and the community," she said.