Roads and Maritime Services called for tenders for the project from two shortlisted tenderers in September last year, from a joint venture of Lend Lease Engineering and Nace, and from Fulton Hogan.

Negotiations will now continue with Fulton Hogan, with the contract expected to be awarded around the middle of this year enabling detailed design to start with major physical work expected to get under way later this year. 

The project will provide a four-lane divided highway separated by a median strip for 11.6 kilometres between Toolijooa Road and Schofields Lane.

The upgrade includes a bypass of the existing winding highway at Foxground and a bypass of Berry with interchanges provided for access both from the north and south of Berry.

Kiama MP Gareth Ward said the announcement meant the start of the largest ever single investment in the history of the Princes Highway was just months away.

“They said it could never be done. This announcement means that we are no longer years – but months away from starting,” Mr Ward said. 

“This is a project that people have talked about since 1955. 

“One of the reasons I stood for parliament was to fix the Princes Highway.”

The Foxground and Berry bypass is scheduled to be completed by June 2018, weather permitting.