More detailed Oxley Highway plans released but questions remain over funding

NEW details have been released on the NSW Government’s plans for upgrades to the Oxley Highway, providing a clearer picture of proposed improvements along the increasingly congested corridor.

However, while the plans provide significantly greater detail about future upgrades at Wrights Road and Lake Road, questions remain over when funding will be committed to actually deliver them.

The State Government has reaffirmed its $20 million commitment to upgrading the Oxley Highway and Pacific Highway interchange, commonly known as the “Donut”, as the first stage of a broader program of improvements between the Pacific Highway and Hastings River Drive.

The project is intended to address congestion and safety concerns at the interchange, which carries around 30,000 vehicles each day.

The $20 million, however, is not a new funding commitment.

The same funding was announced by the NSW Government on 8 August 2025 for the first stage of the Port Macquarie interchange upgrade.

At the time, the Government said the money would cover the design and delivery of improvements including two westbound lanes between the roundabout and Billabong Drive, traffic signals on all approaches to the roundabout and new line marking.

Transport for NSW’s latest update confirms Stage 1A is fully funded, with early works including utility relocations and partial land acquisition expected to commence in 2027, followed by the start of construction.

While the latest announcement provides considerably more detail about the broader corridor, there remains no confirmed construction funding or delivery timetable for the long-awaited upgrades at Wrights Road and Lake Road.

That distinction has prompted Port Macquarie-Hastings Councillor Nik Lipovac to question whether residents are seeing a new funding announcement or further progress on commitments made 12 months ago.

In a social media post, Cr Lipovac said residents should welcome investment in the region but argued there was “nothing new to report” regarding the $20 million interchange project.

He also questioned whether the Donut should be the immediate priority, arguing the most pressing congestion occurs on the Oxley Highway between the Wrights Road and Lake Road roundabouts, near Port Macquarie Base Hospital and the education precinct.

“Council’s priority continues to be improving the Oxley Highway between the Wrights Rd and Lake Rd roundabouts where we have safety issues and major traffic congestion,” Cr Lipovac wrote.

“The ‘Donut’ doesn’t need an upgrade ahead of improving our worst bottleneck near the Hospital and Education Precinct.”

Cr Lipovac called on the State Government and Transport for NSW to consider whether funding could instead be directed towards the Wrights Road and Lake Road section.

The Government has, however, now provided significantly greater detail about what those next stages would look like.

Transport for NSW has divided improvements along the nine-kilometre Oxley Highway corridor between the Pacific Highway at Thrumster and Hastings River Drive into three key stages.

Stage 1 covers the Pacific Highway interchange, while Wrights Road and Lake Road have been identified as Stages 2A and 2B. Longer-term Stage 3 planning includes upgrades around John Oxley Drive and Philip Charley Drive, Carlie Jane Drive and Widderson Street.

Under the proposed Stage 2 plans, the Wrights Road intersection would be upgraded to a three-lane roundabout with metering on three legs.

At Lake Road, the existing roundabout would be replaced with a signalised intersection, while improvements are also proposed to local road connections between Lake Road, Port Macquarie Base Hospital and the Health and Education Precinct.

Member for Port Macquarie Robert Dwyer welcomed the inclusion of Wrights Road and Lake Road in the staged program, describing the announcement as an important milestone following sustained advocacy from the community and all levels of government.

“For years the community has called for action to fix congestion and improve safety on the Oxley Highway. Seeing Wrights Road and Lake Road included in the Government’s staged plan is a significant step forward,” Mr Dwyer said.

Mr Dwyer also acknowledged the role of the more than 10,000 people who supported Business Port Macquarie’s petition calling for the upgrades, along with those who participated in the Government’s Have Your Say consultation.

“More than 10,000 people signed the petition because they experience this congestion every day,” he said.

“This is a win for every person who took the time to speak up.”

Transport for NSW says development of the Wrights Road and Lake Road projects will continue while Stage 1A is constructed.

However, the latest reference sheet stops short of committing funding or a construction date for those works, stating that following completion of Stage 1A, delivery will be “considered” for future stages including the Wrights Road and Lake Road intersection upgrades.

There has also been progress behind the scenes, with Transport for NSW confirming a business case has been completed to guide future investment along the corridor, particularly at the Pacific Highway interchange and the Wrights Road and Lake Road intersections.

That leaves the central question for frustrated motorists largely unchanged: when will money be committed to actually deliver Stage 2?

The issue has been a long running priority for Port Macquarie-Hastings Council, which last year called on the State Government to recognise the Wrights Road and Lake Road corridor as a priority project.

Mayor Adam Roberts said at the time the corridor had been operating at functional capacity for years and argued congestion was affecting the economy, education, emergency services, safety and the area’s ability to accommodate future growth.

The pressure is likely to increase as development continues west of Port Macquarie and the $265 million redevelopment of Port Macquarie Base Hospital progresses.

For motorists, the renewed focus on the Oxley Highway is welcome, and the $20 million Donut upgrade represents a significant infrastructure investment.

The release of detailed concepts for Wrights Road and Lake Road also represents tangible progress, giving the community a much clearer picture of what the next stage of improvements could ultimately look like.

But while the plans are becoming clearer, the funding and delivery date are not.

There is still no confirmed construction funding or timetable for the Wrights Road and Lake Road upgrades, with their delivery to be considered following completion of Stage 1A.

The latest announcement therefore represents genuine progress in planning the broader Oxley Highway corridor, but not yet the funding breakthrough many residents have been waiting for.

By Luke HADFIEL