The reinforced concrete tower would be the world's tallest structure and would be surrounded by a solar collector seven kilometres in diameter.

"This is certainly an extraordinary proposal that would clearly need to be assessed in great detail, using all of the technical expertise with Planning NSW," the NSW Minister for Planning, Andrew Reshauge said.

The $800 million solar tower is slated to be built in south-western NSW next year and when completed will produce around 200 megawatts. ASX-listed EnviroMission is driving the project, which is considered by many as a futuristic model for green energy.

In August, the Federal Government gave the proposal major project facilitation status, as a project of national significance. EnviroMission must now undertake an environmental impact assessment and release its vision for public comment.