The works have reduced Commercial Road to a one-way street from Station to High streets, with the westbound lane blocked off.

Things return to normal on weekends, with the road cleared on Friday evening to allow both lanes to re-open until the Monday.

These works are part of stage one of the project and are expected to be completed by Christmas. Stage two will take place after the summer holiday period.

Wannon Water project manager Nathan Harders said the project remained on schedule.

He said the project was a key part of the reliability of the water network going forward and the everyday functioning of the community during the works had been carefully considered.

"The contract allowed provision for Commercial Road to be reopened to traffic at weekends to minimise disruptions," Mr Harders said.

"This involves the backfilling of excavations and the removal of traffic detour signage."

Koroit and District Progress Association president Sam Rudolph said the upgrade works were a necessary interruption for the town.

"It is something that needs to be done, it's like ripping off a band-aid, there is always going to be some pain," Mr Rudolph said.

"Everything seems to be going to plan and the work looks like it's making good progress.

"Having the street back open on the weekends is certainly a good thing."

Mr Rudolph said Koroit was rebounding well from the long COVID-19 induced lockdown period.

He said confidence continues to grow in the business sector and the wider community.

"There are certainly a lot more people around than there was during the lockdown," he said.

"Opening up again seems to have brought a lot of joy and people are out and about socialising and taking the chance to catch up with friends.

"It feels like normality is slowly returning and there is a hum around the town, there is a vibe out there."