Former NSW Labor MP Eric Roozendaal has bowed out of politics protesting his innocence and reproaching his party.

He denied ever doing any favours for people while he was treasurer and roads minister, and said the corruption watchdog hadn't unearthed any evidence of any wrongdoing by him.

"I leave this place knowing that at all times I have acted in the best interests of the people of NSW," Mr Roozendaal said in his valedictory speech on Thursday.

The Independent Commission Against Corruption (ICAC) is probing claims Mr Roozendaal received a new Honda CRV for $10,800 less than its original value in return for political favours for his colleague, Eddie Obeid.

NSW Opposition Leader John Robertson requested Mr Roozendaal's suspension from the party last November and since then he's served as an independent, voting with the ALP but banned from attending caucus meetings.

"It has been a bruising and tough process, especially for my family," said Mr Roozendaal, who split from his wife earlier this year.

He paid tribute to the four premiers he served under, including Foreign Minister Bob Carr who he described as one of "the great statesmen of this country, perhaps of the Asia-Pacific region".

Morris Iemma "deserved better", Nathan Rees was a good minister who was promoted too early, and Kristina Keneally was "given the mission impossible" well after the fate of Labor had already been sealed.

Mr Roozendaal then took a swipe at the party and urged it to "undertake the hard work of modernisation".

"In the ALP it seems when the going gets tough, the ALP blames itself.

"Like the community I am tired of the internal party navel-gazing that seems to envelop the party every few years."

He remonstrated NSW Labor for failing to privatise the electricity sector, first under Mr Carr in 1997 and again with Mr Iemma at the helm in 2008.

He blamed the "strict 1960 dogmatic view in sections of the ALP that any kind of privatisation is bad, and the self interest playing out in the energy unions".

Following his speech, Mr Robertson issued a statement saying Mr Roozendaal's greatest achievement was maintaining the state's AAA credit rating despite the onset of the global financial crisis.

But the current treasurer, Mike Baird, said "no one would expect me to say that he was a good treasurer".

"Today we say all the best and I think new endeavours are probably overdue."

Prime Minister Julia Gillard was asked if she was happy "to see the back of Roozendaal" at a press conference in Brisbane.

"It's a matter for NSW," she replied.

NSW Premier Barry O'Farrell said he didn't think "a single person across NSW besides Eric Roozendaal" would be disappointed by the resignation.

The ICAC will not finalise its investigation into Mr Roozendaal until midway through this year, after the completion of two further inquiries into mining decisions made by disgraced former Labor minister Ian Macdonald.

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