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Ocean Drive Duplication

Council is planning to upgrade around 3.4 kilometres of Ocean Drive between Matthew Flinders Drive to Greenmeadows Drive (South), Port Macquarie. The upgrade includes the duplication from 2 to 4 traffic lanes to improve traffic flow, upgrading of six intersections and access points, and improved pedestrian access. 

Initial design work was undertaken during 2013, and in September 2015 Port Macquarie-Hastings Council engaged SMEC to continue the concept design, environmental assessment, and detailed design for the project including survey, geotechnical, traffic, environmental investigations and further community consultation. 

The preconstruction phase of the project is now complete following Council and Transport for NSW (formerly Roads and Maritime Services) approval of the Detail Design in December 2017 and the Project Review of Environmental Factors in February 2019.

Construction Funding

In March 2019, the State Government announced a $50 million commitment to the project in addition to the $10 million State Government commitment in 2011 and the $5.5 million Council commitment in November 2018.

In March 2020, Transport for NSW (TfNSW) developed a probabilistic construction cost estimate based on their construction methodology and risks associated with the project resulting in an estimate of between $82 million and $99 million.

In April 2020, it was confirmed the State Government’s funding commitment would be capped at $60 million, conditional on Council committing a minimum of $5.5 Million.

Following the Resolution of Item 13.02 at the 20 May 2020 Ordinary Council Meeting, Council commenced discussions with the Federal Government regarding funding the approximately $30 million budget shortfall.

Council sought to resolve this budget deficit through meetings with the Federal Government through 2020 however were unsuccessful. At the risk of losing the $60 million State commitment an Extra-Ordinary Council meeting was held on 3 March 2021, where Council resolved to fund the $30 million funding deficit by borrowing $25 million and funding $5 million from Council Reserves in order to progress to the construction tender advertisement as a priority.

Council will continue to liaise with the Federal Government to seek additional financial support to deliver the project once construction tenders are received.

Prior to any recommendation to award the Ocean Drive Duplication construction contract Council will:

  1. Confirm the success, or otherwise, of significant additional funding assistance from the Federal Government.
  2. Confirm the State Government approval of the formal business case.
  3. Finalise the Memorandum of Understanding (MOU) with the State Government confirming the delivery partnership with respect to this project.

At this stage, a construction start date has not been established however Council will continue to work with TfNSW and the State Government to determine the most appropriate delivery methodology. The community will be updated once a construction start date is known.

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This page was last updated on: 29 March 2021