The next Ballarat intersection set for a revamp will be the Latrobe Street and Wiltshire Lane roundabout.
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Preliminary works to relocate essential services will begin next month, before major construction begins in late 2020 to remove the roundabout and install a set of traffic lights.
Regional Roads Victoria estimates the entire project should be finished by September 2021, weather permitting.
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RRV's western regional director Michael Bailey said in a statement the early works, which could involve some lane closures, will prepare the intersection for when the major phase begins.
"It's one of three priority projects we've identified to be delivered first under the $60.8 million Keeping Ballarat Moving program, which is upgrading some of the city's busiest intersections to reduce congestion and improve safety," he said.
While minor works began at the Hertford Street and Albert Street intersection in Sebastopol earlier this year, the three priorities remain installing traffic lights at Wiltshire Lane, at Latrobe Street and at the Glenelg Highway, and Gillies Street and Gregory Street West intersection in Wendouree.
Traffic at all three of these intersections is expected to increase by 50 per cent by 2041 - Delacombe is continuing to grow rapidly, particularly around the Delacombe Town Centre area, while in Wendouree, the new traffic lights will improve safety for a new east-west connection to Ring Road, taking some pressure off Sturt Street to the west.
The state government also funded several other intersections across the city as part of the package - Hertford Street will receive traffic lights, while the intersection of Carngham Road and Dyson Drive will become a roundabout.
This could also provide an opportunity to prepare for the next stage of the Ballarat Link Road, which would increase capacity on Dyson Drive to connect Carngham Road to Remembrance Drive and the first stage.
The City of Ballarat has been consistently lobbying for the second stage to receive funding from all levels of government.
In Sebastopol, the Midland Highway will also be widened to four lanes between Queen and Docwra streets, while a new roundabout will also be built at the Docwra St intersection to improve safety. The school crossing at the Midland Highway will also be upgraded to make it safer and easier for students walking to Magpie Primary School.
The state government will also install traffic lights on Sturt Street West near Victoria Park, and is completing work along Mair Street.
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