On your own admission other power sources can substitute for gas in most industrial uses but "the efficiency of gas is much higher". Dare I suggest that cost is also a factor?
The trouble here is that the development of the LNG export industry has destroyed that cost advantage (or will when/if the LNG factories come on line). Regardless of efficiency the cost/benefit of gas heating will be reduced once this occurs.
Two options for NSW - upgrade the existing networks or look at alternatives. The third option, development of a NSW CSG energy has too many negatives to even consider.
