The small section of Grenville Street North which has been shut since last month will remain closed for the foreseeable future.
Despite previous plans to open the street this week, it is understood the road will be closed for much longer.
The street has been closed since fire gutted a building occupied by the Plaster Fun House and Absolute Yoga on February 6.
The building’s owner has attempted to get a go-ahead from WorkSafe for work at the site to continue.
The owner has sought engineering advice to make the site safe for workers to enter.
City of Ballarat City infrastructure general manager Eric Braslis said the council had done everything it could to enable these works to proceed and could not provide potential timelines for the reopening of the street.
“Council has focused very closely on having Grenville Street reopened to traffic as soon as possible,” Mr Braslis said.
“Council has been working closely with the building owner in an effort to assist them with getting approvals, including the go-ahead from WorkSafe, which will enable them to commence works.”
Mr Braslis said the council’s priority was now to support traders impacted by the road closures though a public campaign which is starting on radio and in print today.
Commerce Ballarat executive officer Jodie Gillett said it was important the community continued to support local businesses and not avoid the area.
“We are encouraging shoppers not to forget them,” she said.
“We have businesses who are going through a hard time, through no fault of their own, through no fault of anyone.”
Clean-up crews were on site earlier this week, however, it is believed the work has stopped.