Frank Sartor has signed off on construction of the $123 million Pacific Highway project, to be constructed to the east of the town.

Mr Sartor approved the Roads and Traffic Authority application on conditions requiring the prevention, minimisation and offset of adverse environmental impacts, ongoing environmental management and regular monitoring and reporting.

The project will involve the construction of about 8.5km of four-lane dual carriageway, with the route connecting the already upgraded Bulahdelah to Coolongolook section of the highway four kilometres to the north of Bulahdelah, to the approved Karuah to Bulahdelah upgrade project 4.5km to the south of the town.

Major interchanges will be provided to the south and north of the town, allowing safe and convenient access to Bulahdelah for highway motorists.

The new section of highway will have a design speed of 110 km/h and will be aimed at significantly improving safety and travelling conditions on this section of the highway.

It will also reduce the volume of traffic passing through Bulahdelah, improving safety and amenity for local motorists and residents. Traffic on the existing highway within Bulahdelah is expected to decrease from an average of about 11,000 vehicles per day to less than 2000 per day.

Environmental management measures will be implemented to reduce the impact on flora and fauna, heritage, flooding and drainage, local amenity and the local economy.