Significant coal reserves in New South Wales lie underneath major bodies of natural and stored surface waters. In order that mining can occur safely and without any adverse effect on the surface, various statutory provisions and administrative guidelines have been framed for regulating the surface and sub-surface strata disturbance. There are particular bases for the existing guidelines and the assumptions which were made in their choice. Evaluation of the guidelines in the light of the knowledge gained during the last ten years indicates that they are conservative in some cases and can be made less restrictive without lowering the safety standards. The suggested changes include reduced width for pillars in both bord and pillar first workings and panel and pillar workings, and increased level of extraction for a given degree of subsidence. Changes, if implemented, would lead to increased coal recovery.