Three Western Plains councils have been awarded a share of over $463,000 for housing plans under an effort to fast-track new homes in regional NSW.

Gilgandra Shire Council will receive about $227,000, Cobar $167,000 and Coonamble $70,000.

The fund was announced on Thursday 1 May by the NSW government under the Regional Housing Strategic Planning Fund.

But don't expect new housing to appear too soon, all three councils say the funds are to be used for a range of planning processes that will map the way forward.

In Cobar, the grant will fund a study to map the town's housing need.

"We want to make sure that we've got a housing strategy for the town where, if developers come knocking on the door, we've got areas that are already earmarked and ready," Cobar mayor Jarrod Marsden said.

"If projects are shovel-ready with development approvals already in place, then that's what we're looking for."

Their strategy is expected to be completed by March 2026.

Like in many Western Plains towns, Cr Marsden said housing availability is a problem in Cobar. IMAGE: River McCrossen

In Gilgandra, the money is expected to deliver master plans for residential land in the north and east of the township, and for the development of the Aero Park Place Plan.

Gilgandra Shire Council will contribute about $21,000 to the project.

The council's General Manager David Neeves said studies on supply and demand and infrastructure needs will help the shire grow as nearby major national infrastructure projects like Inland Rail and the Central-West Orana Renewable Energy Zone gets up and running.

"We need to start planning for what the flow-on effects of both those projects might have longer term," Mr Neeves said.

"The grant will help Council understand growth needs.

"We're very grateful for the support. I think it's great that the state government are looking to support communities, particularly those communities in the Renewable Energy Zones. (REZ)"

Coonamble Shire Council will use its grant to identify supply and demand issues, and infrastructure needs, for a housing plan.

The funded projects are three among 24 selected in regional NSW from a competitive process under the fund's third round, accounting for about $4.4 million. The government claims the round will expedite around 105,000 homes.

"By investing in planning today, we’re helping councils deliver the homes, parks, transport connections, and infrastructure communities need, and making sure young people and families can continue to build their futures in the regions," Minister for Planning and Public Spaces Paul Scully said.

"Good planning unlocks opportunity. Through this fund, we’re giving councils the tools to deliver better-designed, more liveable communities across regional NSW, close to transport, jobs, and essential services."