Source: NITV News/Ryan Liddle
It follows more than 125,000 people signing a change.org petition to have the flag on the bridge 365 days a year.
The flag is raised 15 days a year - on Australia Day and during reconciliation and NAIDOC weeks.
Opposition spokesperson for Aboriginal Affairs and Treaty David Harris said the development was "progress".
"The campaign will continue," he said.
Mr Harris made an impassioned plea to the government about the importance of flying the flag year-round.
"It's not about symbolism, it's about reconciliation," he said.
It's not about symbolism, it's about reconciliation
"Reconciliation is not about sometimes, it's not about special occasions - reconciliation and understanding the struggle of our First Nations People is about every day of the week, every hour of the day.
"Not having it there tells Aboriginal people that every day, they still have to fight to be recognised as the original owners of this land."
Liberal MP for Manly James Griffin said Transport for NSW had already "investigated various ways to accommodate another flagpole ... or flagpoles".
But he said there were issues around the location of "maintenance gantries" and that the pylons could not be used, in part because of the location of "ventilation outlets".
The change.org petition was started by Kamilaroi woman Cheree Toka.
Reacting to the latest developments, Ms Toka tweeted it was a "pleasing afternoon".
Campaigners want the Aboriginal flag to fly beside the Australian and NSW flags, not replace them.