A new 24-hour Mental Health access line to provide instant assessment and referral services will be established by the NSW Government.
Minister Assisting the Minister for Health (Mental Health) Paul Lynch said the State-wide line would be staffed by mental health professionals.
Mr Lynch said it was expected to be available to rural communities in late 2008.
The line would then be rolled out across the State within the next 12 months.
Mr Lynch said the mental health line was part of the Iemma Government's record commitment to people living with a mental illness.
"The new mental health access line is part of our plan that's delivering better services for mental health patients," Mr Lynch said.
"Hospital readmission rates have dropped and the mental health workforce has grown, with over 300 mental health nurses scholarships provided last year," he said.
"We're getting results from the record $1.05 billion spend on early intervention, treatment, research, rehabilitation and specialist services like the mental health line," Mr Lynch said.
"People needing mental health support will be able to speak to trained mental health experts," he said.
"Trained staff will take emergency calls and provide a mental health triage assessment and referral service for all new clients to the line," Mr Lynch said.
"For many people, dealing with mental illness is a new and distressing experience," he said.
"Too often, people with a mental illness, their families and carers are unsure what service is appropriate to their needs," Mr Lynch said.
The service will be accessed by a free 1800 number.
It will also be linked in to the National Health Call Centre Network that is being established under the COAG National Mental Health Action Plan.
Callers to the National Health Call Centre Network can be immediately transferred to the State service if required.
The Iemma Government has also extended its partnership with the Black Dog Institute, committing a further $1.5 million for further research into depression and mood disorders.
Mr Lynch said the Iemma Government's partnership with Black Dog was delivering results in the early intervention of mood disorders.
He said the Black Dog's Mood Assessment Program (MAP) - a world first - was a proven success with more than 750 patients already assessed.
The MAP - supported with $1 million from the Iemma Government - captured over a quarter of a century of consolidated clinical know-how of clinical research psychiatrists with expertise in mood disorders.
"Patients enter information about their illness into a computer program," Mr Lynch said.
"While the MAP doesn't offer a precise diagnosis, it provides sophisticated information to referring clinicians that otherwise could only be provided by a highly-skilled mood disorders specialist," he said.