Residents could see the reformation of the group as early as July 2015 ,if Labor is successful in the March 28 election. 

The LIA was axed by the state government in 2013 and the management was handed over to Shellharbour and Wollongong councils.

Ms Watson said restoring the LIA would bring the lake out of “limbo” since it was disbanded by the Liberal government two years ago.

“As I predicted, ever since, there has only been bureaucratic finger-pointing, cost shifting and avoidance of the responsibility by local councils and state government,” she said.

“I simply will not stand by and watch Lake Illawarra fall back into a culture of neglect as happened in the 1980s before the Unsworth Labor Government first established the LIA in 1988.

“The LIA has a proven track record of performance over its 25 years history, a fact, recognised by the state Liberals before they decided to raid it for penny-pinching purposes.

“Lake Illawarra is one of the largest saltwater lakes in the state and it is unique to because it straddles two separate and large local council areas and is situated close to growing, dense population areas and industry.''

Ms Watson said under a Foley Labor Government they would restore the LIA, with $1.2 million annual funding from the NSW Trade and Investments budget by July this year.

“The new LIA will get on with the job of safe guarding the Lakes water quality, its foreshore, provision of recreational fishing and ensure its future planning is accommodated by a dedicated secretariat.”