Projects

Princes Highway West - Terang overtaking lanes

We’re installing two overtaking lanes on the Princes Highway at Terang to improve road safety.

Project status:

Underway

Two new overtaking lanes on the Princes Highway will be delivered in 2026:

a 1.9km Warrnambool-bound lane, between Pontings Road and Spring Dam Road, east of Terang, and
a 2.4km Melbourne-bound lane, between Coombes Road and Ridge Road, east of Garvoc.

These upgrades, which include construction of the new lanes and pavement and drainage improvements, are part of the Australian Government’s $322.9 million investment into the Princes Highway Corridor.

Update – April 2026

Terang East

Construction works on the overtaking lane east of Terang are progressing well, with the first stage of construction almost complete.

To minimise traffic disruptions and to ensure the safety of our crews while we complete the next stage of works, there will be changed traffic conditions on site from Tuesday, 28 April.

From this time, traffic will switch on to the newly constructed road surface, with concrete barriers and a reduced speed of 40km/h in place.

Road users are encouraged to continue planning their journeys to minimise disruptions. We thank you for your patience during this project.

Garvoc

Works on the overtaking lane between Coombes Road and Ridge Road, east of Garvoc, began in April, 2026.

Crews will complete site establishment and vegetation removal before starting major works, which will take up to six months to complete, weather permitting.

Disruptions

Crews will be on respective sites, Monday to Friday, between 7am and 6pm, with the possibility of some weekend works.

Traffic management will include reduced speed limits and lane closures, as required, to protect the safety of crews and road users. Road users are encouraged to plan their journey to minimise disruptions.

Please note: dates and time frames of these works are dependent on a range of factors, including favourable weather and site conditions.

Background

The Princes Highway is the main transport corridor of south-west Victoria, supporting key regional industries and major regional centres.

This project will ensure the road is able to meet the demands of today’s traffic volumes, providing a safe and secure road connection along the Princes Highway for all road users.

Project funding

Both projects are delivered by Transport Victoria, with the Australian Government committing $15.82 million and the Victorian Government $1.72 million towards these upgrades.