THE state government has dismissed the recommendations of a parliamentary inquiry into Newcastle planning decisions.
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The inquiry, held in November last year, was led by Christian Democrats MLC Fred Nile.
He was joined by MPs from The Greens and Labor.
The inquiry heard there was a conflict of interest between UrbanGrowth and the NSW Department of Planning.
The inquiry committee also received submissions that claimed that the developments were too high and should be reduced.
The committee recommended buildings planned for the east end be lowered to 27 metres and the heavy rail line into the city remain.
Instead, the Baird government said it would continue with its commitment of "revitalising Newcastle and improving public transport in the region" through its planned transport interchange at Wickham and the introduction of light rail.
Greens MP David Shoebridge said the government's response to the inquiry was a "slap in the face to residents".
"The overwhelming balance of submissions, both professional and public, that the committee received said the development was too high and should be reduced to prevent it dominating the heritage streetscape," he said.