Barry Clemas, who lives in Berkshire Park near Richmond, was charged with supplying a commercial quantity of prohibited drugs after he was arrested on Picton Road early Wednesday morning.

Documents tendered to Wollongong Local Court on Wednesday said Illawarra Highway Patrol officers stopped a Silver Service taxi about 12.50am at Cataract for a mobile random breath test.

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Clemas, 55, was the only passenger inside and he appeared "nervous".

Clemas, the driver, the car were searched and officers found a plastic Coles bag in the boot.

Police allege a tissue box containing a clear plastic resealable bag with 474.10 grams of a white crystal substance suspected of being methylamphetamine was inside the bag.

The driver and Clemas were arrested and taken to Lake Illawarra Police station.

The driver allegedly told police he received a call from a regular customer who requested him at a home in Liverpool about 7.30pm earlier in the night.

The regular customer and Clemas allegedly left the home and placed a bag inside the boot of the taxi before Clemas got into the back seat and told the driver to take him to an address in Horne Street, Port Kembla.

Police allege the Port Kembla address is a known drug house and the residence of a "well-known mid level drug supplier", the documents said.

Once the taxi arrived at the home, Clemas allegedly took the Coles bag out before he walked inside the home with it. A motorbike rider arrived a short time later and walked inside.

Clemas allegedly returned to the taxi with the Coles bag which "appeared to have something inside" about 30 minutes later and placed it inside the boot before they started driving back to Liverpool.

Whilst on route the taxi was stopped by the highway patrol officers.

Clemas also participated in a police interview and officers allege there were "numerous inconsistencies" in his version of events.

Clemas allegedly claimed he knew the owner of the Port Kembla home and was there to look at vehicles to purchase. He denied touching the Coles bag.

Clemas' phones and tablet were also seized and will undergo forensic examination.

In court, defence lawyer Stewart Holt said Clemas had stable accommodation, worked full time as a packer of food hampers for homeless people at the charity organisation Reach Out, and also volunteered with the Salvation Army.

Clemas also had shared custody of his child, and Mr Holt noted his client would likely spend a lengthy time in custody if refused bail.

Magistrate Gabriel Fleming granted Clemas bail. He must report to police daily, abide by a nighttime curfew, not enter the Wollongong local government area except for court and an acceptable person must offer $5000 surety.

The case will return to court in March.

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