WAGGA-based NSW upper house member Wes Fang has criticised Wagga City Council's plan to create a climate emergency plan as "self-indulgent" and a threat to the city's growth.
It comes after two investors, Custom Originals and Preston Grain, threatened to walk away from the city if the council's climate emergency declaration imposes strict conditions on their plans.
Mr Fang labelled the decision on Monday night as "echo-chamber posturing".
"It is virtue signalling and it's not actually what council should be doing," he said.
"They're actually causing more damage than good to Wagga.
"Climate change is an issue, but it shouldn't be at the forefront of councillors' minds they make a decision."
Mr Fang, who used to lead the Wagga Ratepayers' Association, said the council's priorities should be providing value for money and direct services for residents.
Mr Fang said he believes in climate change but plans need to be realistic. He also said the emergency plan would hinder the city's special activation precinct.
"We've said Wagga and Tamworth are likely to be the two regional cities that are going to hit 100,000 people first," he said.
"But their priority at the moment is talking about a problem they have no impact on."
On Monday, Cr Vanessa Keenan, who put the motion forward, said climate change is no longer about "polar ice caps melting".
"It's a conversation about Wagga. It is no longer someone else's problem, but ours too," Cr Keenan said.