This failure has led to accusations of factional warfare within the party, which has been struggling with internal divisions that have hampered election campaigns for years.

In response to the nomination crisis, former federal Liberal director Brian Loughnane has been tasked with reviewing the circumstances surrounding the failure and the party's readiness for upcoming elections.

Dutton's management of the NSW division is seen as crucial for the upcoming federal election, yet his initial actions have raised concerns among party members.

The state division has until next Thursday to implement necessary changes or face further intervention from the federal executive.

After the sacking of state director Richard Shields, the party threatened legal action against the NSW Electoral Commission for a one-week extension on nominations.

With the lack of Liberal candidates, the Your Northern Beaches Independent Team (YNBIT) aims to increase its representation, providing opportunities for candidates who may not typically have a chance.

The federal takeover of the NSW division is expected to create unrest within the moderate faction, which is the largest in the state.

Moderate party members are concerned that the review of the nomination failure could be misused to remove party president Don Harwin or prompt federal intervention.

The New South Wales Liberal Party is facing significant turmoil after failing to nominate over 130 candidates for local government elections scheduled for mid-September.

The nomination failure is unprecedented in political history, prompting calls for a reduction in the size of governing bodies and improved cooperation among party branches.

Former Prime Minister Tony Abbott has criticized the NSW branch for being overly factionalized and has called for reforms to support the federal campaign.

Electoral analysts emphasize that the Liberal party's nomination fiasco represents a significant democratic failure, undermining the ideal functioning of democracy.