More than $40 million has been allocated to south-west councils by the federal government with Moyne Shire the biggest winner, receiving $10.9 million for local roads.

Corangamite Shire has picked up $9.5 million, Warrnambool City gained $1.9m while Glenelg Shire secured $9.4m and the Southern Grampians has $8.5 to spend.

Corangamite Shire mayor Chris O’Connor said the municipality would work to upgrade unsealed roads following on from community feedback.

He said the shire’s network of unsealed roads was surprisingly extensive, covering districts such as Derrinallum, Darlington, Lismore, Camperdown, Terang and Simpson, among others.

“Every year we hold a community survey and the feedback we received this year was on unmade roads,” Cr O’Connor said.

“Our network of unmade roads is around the 800-kilometre mark. We’ll spend $1 million on improving those roads, not that we plan to seal them, but we want to ensure that they’re usable and in an acceptable condition.”

Glenelg Shire mayor John Northcott said councillors would examine where best to spend the federal allocation, with a number of districts seeking road upgrades. He said locales including Heathmere, Grassdale, Merino, Sandford, Drumborg and Strathdownie all have potential projects.

“There’d be few towns in the whole shire that wouldn’t want a road or street upgraded — there’s plenty on the list,” Cr Northcott said. “I think there was a bit of frustration with the delay with the Roads to Recovery funding but now that we have it, we’ll have to look at where’s best to spend it.”

Cr Northcott said the Condah-Hotspur and Portland-Casterton roads were in need of resurfacing given the two links are littered with potholes.

“They’re both VicRoads roads, so they’re a state responsibility but they’re within our shire and I think a lot of people would like to see them upgraded,” the Glenelg Shire mayor said.

Wannon MP Dan Tehan said the federal initiative had been extended for five years, reflecting its popularity across regional Australia.

“Importantly, the Roads to Recovery program is set up for councils to make road spending decisions based on local needs, without interference from Canberra,” Mr Tehan said.