Peter Nevill will captain NSW this summer, filling the void left by Steve Smith.
Former Test keeper Nevill has regularly skippered his state in recent years, filling in while teammates are on national duty.
Nevill led the Blues during the second half of the previous Sheffield Shield season, with Moises Henriques relinquishing the post after taking personal leave during the Big Bash League (BBL).
The 32-year-old has now been appointed in a full-time capacity.
"Peter has shown for some time that he is a quality leader on and off the field," NSW coach Phil Jaques said.
"His experience for Australia and decade of hard cricket at first-class level gives him the foundation to continue building on the successful tradition of NSW.
"Peter is a great role model for all our players in the way he goes about his work and helps every player to be the best they can be."
NSW batsmen Smith and David Warner are serving 12-month bans that preclude them from playing international cricket, but also representing their state or playing in the BBL.
Those suspensions expire on March 28 next year, the same date the Shield final starts.
It means Smith and Warner could potentially return for the Shield decider, should NSW qualify.