South Coast roads will benefit from $3.48 million through Road Safety Funding.
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Hundreds of road safety projects will be rolled out across NSW, in a $408 million blitz designed to reduce road trauma and save lives.
The funding will deliver lifesaving upgrades including shoulder sealing, rumble strips to alert drivers when they are moving out of their lane, median upgrades to prevent head-on collisions and barriers to prevent run-off-road crashes and protect against roadside hazards.
On the South Coast, the work will be carried out on the Princes Highway between Stephens Creek and Cockwhy Creek, south of the Termeil turn off.
The location was identified in the report as one of the area's accident hot spots.
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The upgrade works will see safety barriers installed, improved line marking and the widening of centre lines.
Deputy Prime Minister and Minister for Infrastructure, Transport and Regional Development Michael McCormack said the Australian and NSW Governments were working tirelessly to ensure works start immediately and are completed by June to get people home sooner and safer.
"As someone who proudly lives, works and has raised a family in regional NSW, I know just how important safe, efficient road connections are to local communities," Mr McCormack said.
"This investment won't just save lives, it will also provide a shot in the arm to local economies as we come back from the COVID-19 recession, with these projects expected to support more than 2,500 direct and indirect jobs."
NSW Minister for Regional Transport and Roads Paul Toole said the program was designed to save lives.
"As part of this investment, 261 priority projects will be delivered across NSW - 150 of these on regional roads, building on our vision of a safer, stronger regional NSW," Mr Toole said.
"These projects will help prevent the loss of more than 538 lives and serious injuries on our roads over the project life - that's the difference between 538 people making it home safely to their families at the end of the day."
South Coast MP Shelley Hancock said the investment demonstrated both government's commitment to improving road safety.
"We want to keep improving our roads to keep that road toll down as low as possible,"Mrs Hancock said.
"Boosting local infrastructure also means boosting jobs and here in South Coast that ensures our local economy can continue to recover from COVID-19.
"We know how important these upgrades will be to our local community and that's why we are funding them."
The Australian Government's funding for the Road Safety Program is subject to 'use it or lose it' provisions and will deliver life-saving treatments on regional roads and to protect vulnerable road users across NSW, while also supporting local jobs and providing a welcome boost to local economies.
The 'use it or lose it' provisions require states and territories to use their notionally allocated funds within a timeframe, or the funds can be reallocated to projects in other jurisdictions.
The Australian Government has committed $300 million and the NSW Government a further $108.2 million to fund the statewide upgrades under tranche one.