NSW Nationals leader John Barilaro's position as deputy premier will come into the spotlight after he reportedly backed down on Thursday's threat to split the Coalition.
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Mr Barilaro had declared on Thursday that he would take the party to the cross bench amid a policy dispute with the NSW Liberals, a possibility that would have devastated the Berejiklian government's majority.
After crisis meetings on Friday Mr Barilaro is widely reported to have backed down in the face of an ultimatum from Premier Gladys Berejiklian.
The pair are expected to release a joint statement on the outcome of their meeting later this morning.
Ms Berejklian told the Nationals leader he had until 9am today to decide whether the party would stay in the political alliance or lose its cabinet positions and shift to the cross bench.
The stoush erupted on Thursday after the Nationals announced the move over an ongoing debate seeking amendments koala policy that became law in December.
Parliamentary Secretary for the Hunter Catherine Cusack branded the announcement, which was made public before the premier was informed "unprecedented disloyalty".
Prior to the emergency meetings on Friday, Mr Barilaro argued on 2GB that his position that MPs would abstain from voting on government legislation had been misinterpreted.
On Thursday he said the abstention meant his MPs were "essentially on the cross bench" over the issue.
Bega MP and NSW Transport Minister Andrew Constance told reporters in Sydney on Friday that Mr Barilaro's leadership was a matter for the Nationals.
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