The officer, who cannot be named for legal reasons, was charged with driving under the influence and high-range prescribed concentration of alcohol, or PCA.
He allegedly crashed a work-issued vehicle in a northern Sydney tunnel and left it damaged on a street following a late-night drinking session with colleagues in May 2023.
The more serious PCA charge could be downgraded if a magistrate sees fit, prosecutor Alison Graylin told Downing Centre local court on Thursday.
Ms Graylin cited a section of the Road Transport Act which allows a court to acquit a person of PCA if they are not satisfied the offence has been proven and instead find them guilty of a less serious offence.
For a high-range PCA charge, where a person is accused of having a blood alcohol concentration above 0.15, evidence from a breathalyser or a blood sample is required.
The officer is accused of fleeing the scene of the crash in order to avoid a breath test and did not face charges until at least six months after the alleged incident.
Magistrate Daniel Covington noted another possible course would be for prosecutors to withdraw the PCA charge and pursue only the lesser charge of driving under the influence.
"My instructions are that it's preferable for this matter to proceed as a hearing as opposed to a simple entry of a plea of guilty," Ms Graylin said.
The prosecutor noted that the case was of significant public interest and had garnered significant attention in the media.
"The Director's view is that this matter should be dealt with in the same way as any other matter that comes before the court," she said.
The matter has been listed for a hearing on November 22.
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