Children under 16 can ride bicycles on the footpath under changes to the law which took effect on Friday.
The previous age limit was 12.
A supervising adult is also permitted to ride with children on a footpath.
Bicycle riders must wear a helmet, keep left and give way to pedestrians
Minister for Roads, Maritime and Freight Melinda Pavey said the new cycling measures would help to keep young people safe.
Ms Pavey said, in the five years to 2017, two children under 16 years old lost their lives while cycling and 1770 were seriously injured.
The changes are expected to lead to more teenagers riding to school.
Sutherland Shire Council promoted the idea of children riding to school earlier this year by funding a trial of a Cycle to School program at Sutherland North Public School and Woolooware Public School.
Early results were very encouraging.
Despite the changes, NSW and Victoria remain the only states that do not allow all-age cycling on footpaths
Bicycle NSW, the state's peak cycling advocacy group, told Fairfax Media it was disappointed the state government had not embraced a policy of all-aged cycling on footpaths.
"Footpaths should be open to everyone," executive officer Alistair Ferguson said.
"While this will see children able to ride safer for longer, it does not cater for the newer and less confident riders."
A spokesman for Transport for NSW said lifting the age restriction entirely could “significantly increase congestion” and the likelihood of crashes between cyclists and pedestrians.
"There is a risk of injury to a pedestrian if hit by an adult rider, as adults typically travel at higher speeds and are heavier, increasing stopping distance and the force of impact in the event of a crash," he said.
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