A photo of convicted pedophile Dennis Ferguson relaxing on a Sydney beach metres from children heralds the start of his campaign to "push back" into the community, his advocate says.

Ferguson and his friend and spokesman Brett Collins are pictured on the sand at Coogee Beach clad only in brief swimmers and giving the thumbs up to the camera.

Children can be seen playing in the surf nearby.

The photo, prominently published since it was released to the media by Mr Collins and Mr Ferguson, has drawn outrage from the community and politicians.

NSW Premier Nathan Rees said he was appalled.

"I don't know what motivates this sort of grandstanding but, frankly, I'm revolted and repulsed by it," he told reporters on Wednesday.

"Those sorts of images have the capacity to sicken and to scare people.

"Clearly, given the strong feelings around those individuals they are putting themselves in some danger."

Mr Collins defended the photo, saying it marked the start of a campaign for Mr Ferguson to be able to live a normal life.

"Today is the day in which we start to push back, to make sure that people are not excluded in the way that Mr Ferguson has been," Mr Collins said outside a Sydney court where Mr Ferguson was applying for a restraining order against a neighbour.

"He, in some ways, is the pin-up boy ... of people who are entitled to come back, serve their sentence and start a clean slate."

Mr Ferguson was at Sydney's Downing Centre Local Court on Wednesday seeking an Apprehended Personal Violence Order (APVO) against a neighbour in the Sydney suburb of Ryde.

The convicted pedophile was given public housing in the suburb earlier this year, but the NSW government has since changed laws in order to remove him from the unit.

That was after father-of-three Sean Killgallon erected a sign saying "pedophile" in the street, and placed a coffin outside Mr Ferguson's unit.

Mr Killgallon was also outspoken when almost 200 people rallied outside Mr Ferguson's unit.

The court was told Mr Ferguson intended to move back to Ryde, after receiving several offers to take up private residence there.

Outside the court, Mr Ferguson and Mr Collins said their attempts to negotiate with Mr Killgallon had been rejected.

"All we were asking for was for Mr Ferguson to receive an apology for the things that have been said against him and to get a guarantee of his safety," Mr Collins said.

"And those things were not given to us so we have no choice but to go ahead for the court case."

However, Mr Killgallon told reporters he does not want to see Mr Ferguson, who served 14 years in jail in Queensland for the abduction and sexual assault of three children, return to Ryde.

He described the beach picture and the APVO application as a sham.

"... That picture on the beach ... involving innocent children, innocent families - it is nothing but a publicity stunt for today," he said.

The APVO application has been stood over until November 4, when both sides are expected to agree on a date for a half-day hearing in early 2010.

In the meantime, Mr Ferguson continues to live at an undisclosed Sydney address.