Chris Minns argued for a new direction for Labor before Jodi McKay stepped down as leader of the opposition last month.
Now that he is in charge, the 41-year-old Kogarah MP says it will be a "very big ask to win the next election".
Mr Minns visited Newcastle for the first time as leader on Thursday morning to meet union representatives and tour Waratah mine engineering firm Molycop.
In an interview with the Newcastle Herald, he denied undermining Ms McKay's leadership and dumping Cessnock MP Clayton Barr from shadow cabinet for not publicly backing him to take over.
Port Stephens MP Kate Washington has openly accused "foul forces" in caucus of "treachery" against Ms McKay, who beat Mr Minns in a rank-and-file and caucus vote in 2019.
Ms Washington did not name Mr Minns, but some in the party are clearly unhappy about NSW Labor's first democratic leadership ballot being overturned.
"That's not the case," Mr Minns said when asked if he had white-anted Ms McKay.
"I was a hard-working member of her team. I worked hard in the transport portfolio. As I've said, I did have concerns about the direction of the party, but I always raised them in appropriate forums."
There's always hope, but I'll be really honest: I think it's a very big ask for the NSW opposition to win the next election.
Chris Minns
Asked about Labor's prospects in 2023 against a popular premier, Mr Minns said the party had a "huge mountain to climb".
"After 10 years of opposition, I believe we needed new perspectives on the front line of politics to take the fight up to the government.
"There's always hope, but I'll be really honest: I think it's a very big ask for the NSW opposition to win the next election.
"My hope is that Labor is coming up with policies and ideas that address cost of living, good paid jobs into the future, what kind of society we want to craft once the pandemic is over.
"Are we developing a society and economy that's working in the interests of working people or are we just limping along and emerging from the pandemic but we don't have the drive and energy in the economy?
"I think if we start speaking about those issues and give the voters a choice, we're in the hunt, but I'm not coming in here saying this will be a coronation. It will be very, very difficult."
Mr Barr suggested this week that he had been dumped from shadow cabinet for not openly supporting the new leader, but Mr Minns said that was "not the case".
"I'm happy to say that to him when I speak to him," he said. "It was a difficult decision. He is a fantastic member of parliament. I rate his ability absolutely.
"It was a tough call trying to balance people that I believe needed to get into the shadow cabinet with the experience that was already there.
"I feel for him, and I understand that he's disappointed but ... I did promise renewal when I became the leader of the Labor party, and that meant bringing people from the backbench to the frontbench."
Mr Minns is the son of a school principal, a Bulldogs rugby league fan and a former NSW Labor assistant secretary. He has a masters degree in public policy from exclusive American university Princeton.
He reiterated his desire for Labor to be less "reflexively" critical of the government, especially in relation to its handling of the pandemic.
"That was my instinctive view of politics anyway.
"In order for Labor to be successful politically, I don't think voters want us carping or criticising the government routinely or reflexively, and I think sometimes we fell into that.
"I don't think there should be politics in the pandemic, but I have to say the future beyond that is up for grabs, and we'll be vigilant when it comes to pointing out government mistakes, and I hope that we'll have a strong vision for the future that's distinct from the government's by 2023."
Mr Minns said Labor would have a "big focus" on "what kind of economy we can build for this region".
"What are the jobs that will drive economic growth?
"Are we investing in the skills that are necessary to fill those jobs?"
He said the "something like 100,000 vacancies for skilled jobs across NSW" indicated that "underfunding in TAFE and tertiary education over the last decade is starting to catch up with us".
"I want to invest in TAFE and vocational education and use the power of the government to drive infrastructure and manufacturing in the Hunter and regional NSW."
On coal and energy policy, the focus of a disastrous by-election for Labor in Upper Hunter last month, Mr Minns said the issues for the region were "far more complicated than people from Sydney make out".
"The irony about the Upper Hunter by-election was the biggest promise was a $100 million payment from the National party for Shenhua not to go ahead with a coal mine," he said.
"The future of coal will likely be determined by our trading partners, 70 per cent of whom are going net zero emissions by the middle of this century.
"The challenge for the NSW Labor party is that if there is a decline in coal, and Treasury reports says 2024-25 will be peak exports and it will decline from there, we have to be in a position to provide a jobs and economic growth plan for the Hunter."
He said he "took inspiration" from Newcastle-born Western Australia Premier Mark McGowan, who had "revitalised domestic manufacturing".
The lack of a concrete strategy for shifting the economy away from coal was "probably adding to the insecurities and fears" of mining communities "because no one is being direct and open".
He said Labor had lobbied successfully for the Hunter to become one of the government's renewable energy zones, which include streamlined approvals and technical support for private investors.
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