The $15.6 million-dollar makeover of the popular tourist town will be the council's biggest ever capital works project.

On Friday morning Member for Wannon Dan Tehan announced the federal government will contribute $5.5 million to the project, alongside the state government's $6 million and council's $4.1 million contributions.

Mayor Ruth Gstrein said she was thrilled by the announcement.

"We have been advocating for a number of years and we're grateful for the support from the state government and federal government," Cr Gstrein said.

"We're delighted it's been announced and it gives us assurance going forward.

"Port Campbell is a destination town and the streetscape is very tired and worn and needs a major uplift.

"Visitation numbers pre-COVID were extremely high and that streetscape takes a fair beating and is desperately in need of a makeover.

"I would like to see works start as soon as possible but appreciate we are coming into the peak season."

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The project will provide a new amphitheatre along the foreshore, viewing platforms, picnic areas, major streetscape and road improvements, upgraded town entry from the Great Ocean Road and integrated artwork by Gunditjmara artist Dr Vicki Couzens.

The revitalisation project promises to put Port Campbell at the heart of the world-renowned Shipwreck Coast and will improve the quality and quantity of visitor experiences along the Great Ocean Road.

Minister Tehan said the government's investment through the Building Better Regions Fund will deliver better facilities and economic opportunities for the region.

"The Morrison Government is delivering the services and infrastructure our communities deserve," Mr Tehan said.

"We are backing these projects so local people have the facilities for the future, while creating jobs to boost our economic recovery.

"I have worked closely with local councils and community groups. It's great to be part of a government that will listen to and deliver for our community."

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