The Welsh Office are considering proposals by Cwmbran Development Corporation to build 2,300 homes around Henllys village and new industry in the Ty-Coch area.
The first formal opposition could come on Thursday when Councillor Fred Richards will tell Magor and St Mellons rural council what he thinks of the expansion plans.
Councillor Richards, the Henllys parish representative for nearly thirty years said villagers were very upset.
"What is most annoying is that land has already been bought in the area for development, but not one sod has been cut for six or seven years" he said.
Councillor Richards said private developers had also applied to build but had been turned down on the grounds that the area had no sewers.
He added: " In the first place Henllys objected to joining with Cwmbran in local government reorganisation, and wanted to go in with Newport like the rest of Magor and St Mellons council.
"The development now proposed has been sticking out a mile for a long time.
"This is a beautiful village with lovely views across the valley, but if these plans are carried out you will just have plots of houses to look at."
He said many of the 340 people in the parish owned their own homes and ninety per cent had their own transport.
The trouble was that Henllys might get a representative on the new council if it was merged with one of the existing Cwmbran wards.
Henllys acted as a pleasant retreat for existing town dwellers and was used by many of them for summer walks.
Parish Council chairman David Williams plans to call a special meeting of the council and a public meeting of villagers.
On Wednesday he was visiting the county planning department and the development corporation.
" This is a quiet place and we are not being greedy" he said. "We want to increase the village population but we don't know how the plans will affect us"
"We do not know whether some of the houses will be regarded as eyesores and pulled down or whether we shall be an island surrounded by new houses"
Councillor Williams said the first he heard about the plans was when he read the newspaper.
" We should have been consulted." He added.
Ty Coch residents are also wary of the news about industrial expansion and are holding a meeting next month to discuss this aspect of the corporation's plan.
Mr Roy Blackwell, chairman of the Garth and Ty-Coch residents association, said the idea would be to test public opinion. "After all is said and done we are the people living here."
The association, still waiting to see if the council's waste disposal plant near by will not disrupt their lives after a long battle over its construction, have been waiting for plans to be published.
" It still comes as a great surprise," said Mr Blackwell. " We say that plans for new industry are fair enough but the designated area should be filled up first and jobs found for the people within.
He said although the new town population had increased the number of jobs had nor risen with it. The association believed the town should naturally expand in line with the employment situation.
"Get the people who are living here working and then talk about expansion," he said.
The corporation say that Henllys provides an excellent environment in which to live, and would assimilate with established areas of the new town.
There would be shopping centres at Henllys and Fairwater and access to the town centre would be provided.
The corporation had already attempted to expand northwards but the plans had been withdrawn.
They also say that Ty-Coch is the best area for new industry and the environment could be preserved by retaining wooded areas.
They say that further industrial expansion in this way could attract a big industry to Cwmbran.