The trail is proposed to extend from the existing Camperdown to Timboon Rail Trail in Timboon, south to Princetown around 40 kilometres in length.

The first stage of the trail would run from Timboon to Port Campbell and the second stage from Port Campbell to Princetown, which has been identified in the Shipwreck Coast Masterplan.

In the latest development to the 13-year project, Corangamite Shire Council have commenced a $300,000 detailed design on the trail, due to be completed August this year.

READ MORE: Twelve Apostles Trail project under way after more than a decade

The council has proposed to pitch in $1.7 million to the $6.1 million project and is seeking the remainder of the cash from state and federal governments and commercial partners.

Cr Illingworth expressed his disappointment that the state government was unlikely to provide funding for the project and urged their federal counterparts to come to the table.

"This is a unique opportunity to get it right, now is the time to move forward with this project and fill empty accommodation with construction workers," Cr Simon Illingworth said.

"We're told that building materials will be scarce at this time but the beauty of this trail is it will use local materials purchased from local businesses.

"The politicians set aside a huge amount of money in the Geelong City Deal, all we need to do is release that funding.

"People are losing hope, we implore the federal government to fast track this thing and get it going."

Mayor Neil Trotter said the trail would be a crucial link from the hinterland to the coast.

"This project has been on the books for as long as I have been on council, we just need the state and federal government to come to the party and contribute," he said.

"In its entirety the trail provides a vital link for the local community, businesses in Port Campbell and Timboon, and visitors to the region.

"Excluding the recent impact of coronavirus, the number of visitors to the region has been very high, around five million per year, however as the majority are day visitors the economic yield is low.

"Our tourism growth has long been inhibited by a pattern of visitation that is vehicle dependent, short stay and concentrated on the coast.

"The trail is designed to encourage visitors to immerse themselves in the landscape and stay longer."

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