The Southern Highlands Koala Conservation Project is seeking information about the koala last seen near the hospital on Thursday night.

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Environment officer Margot Law said koalas were notoriously difficult to find.

"They can move a couple of hundred metres in a night, so it could be anywhere," she said.

The dedicated conservationist urged the community to contact the project whenever they saw a koala in the Southern Highlands.

"Try and make the area as safe for koalas as possible - make sure pets are kept away (on a lead or inside) and if it is safe to do so, alert traffic," Ms Law said.

"Koalas are wild animals and should not be touched or approached for your safety and theirs."

The Southern Highlands is home to an estimated 3000 koalas, 10 per cent of the NSW population.

"We are lucky to have so much koala habitat in the Southern Highlands and some of it is close to our towns and villages," she said.

"Busy areas are not very safe places for koalas, and a lot of other wildlife, because there are increased chances of road kill and domestic dog attacks."

However, Ms Law said koala sightings in busy areas could be an indicator the koala population was expanding and trying to find new unoccupied habitat.

"In general, the Southern Highlands Koala Conservation Project will not relocate koalas out of busy urban areas unless we are concerned for their welfare," she said.

The Wingecarribee Shire Council run project has a six pronged approach for the creation of a resilient koala population:

The best way for residents to help the project is to report all koala sightings. Over the past five years the conservation project has recorded almost 400 community koala sightings.

To report a sighting call the koala hotline 4868 0888 or email citizen.science@wsc.nsw.gov.au.

If you are concerned that a koala injured call WIRES on 1300 094 737 or Wildlife Rescue South Coast on 0418 427 214.

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