Bollards are in place directing vehicles around the landslip on Port Campbell-Timboon Road, but vehicles are having to cross to the wrong side of the road approaching a blind bend to avoid the damaged surface.

VicRoads said the speed limit had been dropped to 60km/h and is blaming the situation on the recent wet weather.

“We are undertaking immediate safety repairs at this site next week,” south western regional director Mark Koliba said.

"We are investigating the area further to assess what kind of long-term repair and reconstruction may be needed.”

Corangamite Shire councillor Simon Illingworth said the situation was not good enough.

“This whole road is actually collapsing. It’s dropped right off and it should be closed,” he said.

Cr Illingworth said the road was used by locals, school buses and tourists and the landslip was putting lives at risk.

“It’s not good enough,” he said.

“It’s unbelievable, this was fixed not so long ago. It’s not being fixed properly, they’re not doing it right.

“They’ve got to put a whole heap of money into our roads because this just defies logic. You talk about safety, well make the roads safe.”

In September last year another landslip on the Cobden-Port Campbell Road closed a lane to traffic and led to reduced speed limits. Work to repair it was undertaken in March.

Mr Koliba said the area was being “constantly monitored”.

“Recent heavy rains have impacted a number of roads across south western Victoria, including a small section of Timboon-Port Campbell Road,” he said.

VicRoads said it was in the process of “undertaking detailed investigation to determine whether long-term rehabilitation is required”. 

It said any major repair and reconstruction work would take about a week to finish and could only begin once the weather was warmer and drier.