Essential Energy announced earlier in the year that they plan to axe 1,395 jobs across NSW, with unions believing that 400 of these jobs will come from the North Coast region.

The announcement followed the Australian Energy Regulator's (AER) order to cut operating expenditure over the next four years. In April the Regulator ruled that Essential Energy, Transgrid and Endeavour Energy cut operating expenditure by 25 per cent and reduce revenue it raises from charges by 25 per cent. AER did not instruct any provider to cut jobs as a part of the determination.

Essential Energy has informed staff that a final meeting of the Redundancy Consultative Committee will take place on Tuesday, September 8, before individual employees impacted by the cuts are notified on September 9 and 10.

Depots that will lose staff include Taree, Bulahdelah, Dungog, Forster, Gloucester, Port Macquarie, Stroud, Ewingsdale, Ballina, Murwillumbah, Tweed Heads, Dorrigo, Coffs Harbour, Kempsey, Nambucca Heads, Casino, Grafton, Kyogle, Lismore, and Maclean.

The Electrical Trade Union and United Services Union, which represent Essential Energy workers, said there were alternatives to the deep job cuts.

"Unions have put forward a range of options, including for job sharing arrangements and other efficiencies, that could drastically reduce the number of local people who will lose their jobs," ETU deputy secretary Neville Betts said.

"Allowed to continue, these huge staffing reductions will result in the loss of specialist skills and experiences from these communities resulting in chronic future skills shortages not to mention network reliability and safety concerns.

"Rather than taking a simplistic approach of cutting jobs, unions have put forward alternatives that can keep people in work, keep skills in regional NSW, and deliver savings for consumers."

Essential Energy's deputy chief executive officer, Gary Humphreys, said the business is undergoing a "significant transformation" and as a result, workforce reductions will be delivered in two phases starting this month. The first phase of job cuts begins next week involving 700 staff across Essential Energy's footprint, with the final phase slashing 695 jobs by late 2015.

To claims that Essential Energy could have managed its operating costs more efficiently, Mr Humphreys said it was the AER's determination earlier this year that left the company without funding for 1,395 jobs.

"Essential Energy is undergoing a period of significant transformation to improve productivity and efficiency, safely align our capital and operating budgets to the Australian Energy Regulator's (AER's) allowances for 2014-19, deliver better value for customers and improve business performance," Mr Humphreys said. "The AER's determination in April this year left Essential Energy without funding for an estimated 1,395 roles, costing approximately $15 million per month."

Essential Energy is appealing elements of the AER's determination.

"Essential Energy's Redundancy Consultative Committee met with union representatives last week to continue discussions around a draft revised redundancy policy and other workforce planning issues," Mr Humphreys said.

"As part of the process, Essential Energy circulated an indicative table showing areas where proposed unfunded work program-related roles have been identified. This indicated a potential 47 roles directly impacted on the North Coast and is subject to ongoing consultation.

"We recognise this is a tough time for all Essential Energy employees and are committed to ensuring the safety of our employees, contractors and the public remains our top priority."

USU energy manager Scott McNamara said the eventual loss of 1,395 jobs across rural and regional NSW would devastate many communities.

"This first round of cuts, which make up barely 10 per cent of the number that will eventually go, have already impacted 20 depots on the North Coast alone," Mr McNamara said.

"These are the staff that ensure electricity services operate around the clock, providing quality customer service and going above and beyond in emergencies.

"Every one of these communities will feel the economic loss caused by the axing of quality jobs, while electricity consumers will suffer due to a reduction in staffing and services.

"Before the election, National Party politicians were extremely vocal about protecting Essential Energy jobs.

"It seems they were really only interested in protecting one job - their own - and now that they are secure for another four years they are nowhere to be seen when it comes to protecting local jobs from these massive cuts."

Member for Port Macquarie Leslie Williams echoed the words of Mr Humphreys saying the reforms, which include job reductions, will secure the company's business sustainability.

"All areas of Essential Energy's operations are under review as it drives improved efficiencies across the business. Immediate reforms will include job reductions, depot and office consolidation and further discretionary cost containment measures to ensure long-term business sustainability," Mrs Williams said.

Country Labor representative Kristy Quill said the news of job losses was disappointing for all families impacted on the Mid North Coast.

"We campaigned hard in March for a sustainable future for local Essential Energy jobs, while also being considerate of high electrical prices and the impact of local families," Ms Quill said.

"We fought hard to try to prevent the sale of the electrical network, which we believed would lead to job losses, without reducing electricity prices significantly as promised.

"The Unions put forward a range of options to energy providers that would have assisted them meeting their cost reduction targets without significant job losses in our region. It is a shame that such measures weren't able to be used."