The name Panania was on the original list of stations proposed for the Tempe-East Hills railway line in 1929.[2] Prior to this, Panania was part of what was generally known as the East Hills district. Panania is an Aboriginal word meaning sun rising in the east and shining on the hills.[3] An alternative theory is that the name may be a derivation of "Pannonia", which was an ancient province of the Roman Empire southeast of the Danube River. During the construction of the railway line the name Nioka was used for the station which is an Aboriginal word meaning the green hill. Other names suggested for suburb were Linden Park and Elmswood.[4]

The arrival of the railway in 1931 stimulated the development of the East Hills district. Prior to this, the district was rural. There was a soldiers' settlement at Milperra which consisted mostly of poultry and horticultural enterprises.[5] The only public transportation was a bus service to Bankstown railway station on the Bankstown line from various locations throughout the district, which posed a great inconvenience to people who needed to visit the Sydney CBD for work.  (Wikipedia)