Providing the surgery is expected to be part of a larger proposal to help New South Wales residents get the pounds off, the Sydney Morning Herald reported.

Health Minister Reba Meagher is expected to announce Monday the state will set up clinics where the overweight can be referred for treatment of diabetes, heart conditions and other problems generally associated with obesity.

Australia has one of the highest obesity rates in the world, with more than half the adult population considered overweight.

Until recently, bariatric surgery for the overweight was limited to stomach operations that could be risky and sometimes failed to have the desired effect. More recently, an operation that inserts a band around the stomach has helped many take off the pounds.

New South Wales paid for 53 operations last year for patients who suffered from major medical problems caused by their weight.