Paul Douglas Peters in August 2011 broke into Madeleine Pulver's Mosman home wearing a balaclava and cornered the then teenager in her bedroom.

He then placed the hoax bomb on Ms Pulver, where it remained for some 10 hours before police determined the device was a fake.

A document attached to the device demanded an unspecified sum of money and said tampering with it would make it explode.

Peters did not know the Pulver family.

Peters - whose motive for the act was never clear - was in 2012 sentenced to 13-and-a-half years in jail, with a non-parole period of 10 years.

The State Parole Authority on Friday said in a statement it had accepted expert advice recommending Peters be released to supervised parole.

This included advice from the Serious Offenders Review Council which found Peters was unlikely to reoffend and has suitable post-release plans.

Community Corrections also supported Peters' release on parole.

The SPA said it intended to grant parole and the matter will be listed for a public review hearing in August. Peters' non-parole period ends August 14.

During sentence proceedings in 2012, the court was told Peters suffered from severe depression and bipolar disorder, and that he claimed to have no memory of attaching the device to Ms Pulver's neck.

He told one psychiatrist he had "no idea" why he chose the Pulver home.

Ms Pulver and the group of police officers who helped her amid the ordeal were in 2017 bestowed with bravery awards and citations.

Ms Pulver is the daughter of ex-Australian Rugby Union boss Bill Pulver.

Australian Associated Press