Climate change costs hit regions and budget hard

Costs associated with bushfires and floods in NSW have ballooned over the past decade. (Dan Himbrechts, Darren Pateman/AAP PHOTOS)

Frequent bushfires and floods have exploded natural disaster recovery and relief costs as 3.2 million regional residents are promised upgraded hospitals, new preschools and better roads.

As communities in northern NSW continue cleaning up from floods in May and the memories of February's Cyclone Alfred fade, Treasurer Daniel Mookhey on Tuesday set aside another $4.2 billion towards future and past disaster relief.