Luxury ships ignoring proposed new noise rules at the White Bay Cruise Terminal could be banned from using the facility.
The NSW Government is also looking at paying to noise-proof dozens of homes near the terminal.
Music blaring out on decks and loud passenger announcements could also be restricted to minimise noise.
The measures are part of a draft noise mitigation strategy released last week in response to complaints about the $57 million facility.
The Port Authority of NSW has already set aside $5.3 million to fund the strategy, including paying for new windows and external doors to be sealed and home ventilation systems to allow circulation of fresh air when windows are closed.
Householders have been telling NSW Health their sleep is affected by public address systems; engines being left on to ensure electric power to the ships; and vibration caused by the ships’ engines and generators.
During the 2015/16 peak cruise season there were 55 complaints at White Bay.
The strategy suggests that ships that do not comply with noise rules will be given a warning. A second warning will result in the ship being “relocated” overnight.
“Shore-to-ship power may be unpopular with the … cruise ship industry but is the only effective solution to reduce noise and toxic pollution from these vessels.” Jamie Parker MP
“A third noncompliance will result in future bookings not being allowed,” the strategy states.
Maritime Minister Duncan Gay urged residents to give feedback on the strategy.
“We’re committed to doing all we can to mitigate noise in the area,” Mr Gay said.
The Stop Cruise Ship Pollution group said adopting shore-to-ship power letting ships access electricity from the wharf, would reduce noise and vibration.
Balmain state Greens MP Jamie Parker said the strategy will imprison residents.
“Shore-to-ship power may be unpopular with the … cruise ship industry but is the only effective solution to reduce noise and toxic pollution from these vessels.”