TWO residents who live along the notorious 'Mad Mile' at Illowa have welcomed the federal government's $60 million upgrade to the Princes Highway from Warrnambool to Port Fairy.
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Shirley and David Watts say the much-needed improvements can't happen quick enough.
The couple have witnessed several serious crashes and many near-misses over the 12 years they have lived on the deadly stretch of road.
"It's been a long time coming," Mrs Watts said. "This is very important to us. There is a massive amount of cars on the road each day."
The cash comes after an exhaustive campaign by the Princes Highway West Action Alliance - a group made up of five south-west councils - who have been lobbying state and federal governments for upgrades to the dangerous and dilapidated road for more than 12 months.
Wannon MP Dan Tehan said this year's budget had earmarked $300 million for Victoria for upgrades to the Princes Highway, of which the $60 million for improvements was a part of.
He called on the state government to match the funding or at least provide a further 20 per cent.
"Safety on our roads is the number one priority issue here in the south-west," he said.
"We need to get working on upgrading our roads immediately. When it comes to this $60 million we have the Princes Highway corridor strategy, which will be released in the middle of the year.
"A soon as the projects are identified, work can begin. If areas are identified for duplication then the money can be used for that."
Warrnambool City Council mayor Tony Herbert said more than 14,000 cars travelled on the road each day.
"This is a significantly busy road," he said.
"It's the busiest outside Geelong. From a safety perspective it's vital this upgrade is done, but also from a productivity perspective as well.
"We are punching well above our weight from a regional perspective about contributing to the whole economy of Victoria. For us to grow and continue to get our product to Melbourne, this corridor is vital."
He said the Princes Highway West Action Alliance's lobbying had been "incredibly successful".
"It's an amazing start and I implore the state government to match it."
Moyne Shire Council mayor Mick Wolfe said upgrades had "always been a priority" for the 11 years he had been on council.
He said the south-west produced a quarter of the nation's milk supply, and it had to be moved on adequate roads.