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NSW has some fantastic canoeing and kayaking spots. Even Sydney, a city of more than 4 million people, is surrounded by plenty of options for flatwater kayakers.
Here are some great resources to build up your paddling skills:
http://www.rivercanoeclub.org/flatwater-skills
http://www.rivercanoeclub.org/sites/default/files/policy/RiverCanoeClubCompetencies2013.pdf
http://www.nswseakayaker.asn.au/index.php/homepage/basic-skills
http://www.nswseakayaker.asn.au/index.php/homepage/about-the-club/paddler-grading-system
Happy canoeing and kayaking!