Orange councillors voted to support the expansion on Tuesday night, provided it was at a reduced size and there was no discount department store allowed.

The rezoning from R1 general residential to B2 local centre would enable Woolworths to expand from 3200 square metres to 4000 metres, an additional 1750 square metre mini-supermarket and an extra 800 square metres of retail space.

Aldi is understood to be interested in a second premises.

SCA Property Group had originally wanted to include a second 4000 square metre supermarket and 1400 square metres of retail space when it lodged the proposal in September 2014, but it was cut back following discussions after the council’s consultant, Peter Leyshon, found they could not be justified until 2028.

According to the Leyshon report, growth for Woolworths could be justified because it traded 17 per cent better than the average in 2012-13, but the applicant had estimated projected economic growth in the CBD at 8 per cent a year when 3 per cent was more likely.

At the meeting, development services David Waddell said the consultant’s calculations took into account Orange’s total shopping population of 95,000 and where they were likely to shop.

“It’s quite scientific, that’s why we’re quite comfortable with it,” he said.

SCA development manager Jane Macpherson said the company looked forward to providing an improved retail facility, but declined to comment on discussions with Mr Leyshon.

“We’re just reviewing our options in the space we’ve been awarded,” she said.

The proposal will now go to the NSW Department of Planning for public consultation and gazettal.

Councillors also approved a $700,000 tender for KLMR Civil Pty Ltd to build the link road between Telopea Way and the newly-built western section of Diamond Drive.