Upgrades to one of Sydney’s busiest intersections is a step closer to commencing as a new design are unveiled for the $200 million Homebush Bay Drive and Australia Avenue intersection upgrade.
This project is jointly funded by the Australian and New South Wales Governments, each contributing $100 million.
With the new design, the existing roundabout will be replaced with an easy to follow, signalised intersection with additional lanes to help ease congestion and keep traffic moving, particularly during peak periods and major events at the nearby Sydney Olympic Park.
“The Australian Government welcomes this step forward in easing congestion, increasing safety and improving travel times and connectivity to Sydney Olympic Park and Homebush.
“The community has waited for years for a solution to the traffic issues that have plagued this intersection since it first opened more than a quarter of a century ago.
“We have listened to the community and are moving forward with a more traditional and familiar design and the delivery of a much-needed upgrade at this intersection.
“We will continue to work with the NSW Government to deliver significant infrastructure projects that the people of NSW need and deserve,” Federal Minister for Infrastructure, Transport, Regional Development and Local Government Catherine King said.
Following comprehensive traffic and environmental investigations, a layout of the new intersection has been developed which minimises impact on Bressington and Bicentennial parks while delivering a safer, more efficient connection for all road users.
The previously proposed design for a Diverging Diamond Interchange option was supported by only 25 per cent of respondents due to concerns about the complexity, unfamiliarity, and safety of the design.
“The Minns and Albanese Labor Governments are fixing the infrastructure that communities across NSW have waited too long for.
“For thousands of drivers stuck at this intersection every day, this upgrade means less time in traffic and more time with your family.
“I want to thank Donna Davis and Sally Sitou for their persistent advocacy to push this project forward. Their close connection to community has supported the feedback that has led to this new design,” NSW Minister for Roads Jenny Aitchison said.
Work on the project’s Review of Environmental Factors (REF) has been completed, and it evaluated the environmental and community impacts of the revised design.
The community is now invited to have their say on the REF and the revised proposal, which have progressed to concept design. Feedback can be provided until 18 January 2026.
This project is expected to benefit tens of thousands of people who use this intersection every year. The existing roundabout caters for up to 5,000 vehicles per hour during peak periods.
“This is a major win for our community. The upgrade will ease congestion, make it safer for families and improve access to Sydney Olympic Park for events and everyday travel alike.
“I’m proud to see the Albanese Government working hand-in-hand with the NSW Government to deliver the infrastructure that locals in Reid have been calling for. This intersection has been a headache for years, and this project will finally fix it.
“As our local population grows, so too must our infrastructure. This upgrade will future-proof one of our busiest intersections, supporting new homes, local businesses and the thousands of people who visit Sydney Olympic Park each week,” Federal Member for Reid Sally Sitou said.
The delivery of a new signalised intersection follows interim improvement works that were completed at the roundabout and Homebush Bay Drive on-ramps in December 2024. This work resulted in improved short-term traffic flow and road safety, especially during peak times and special events.
The interim improvements included installing new traffic loop detectors, 12 new roundabout operating signs and advanced warning signs at the roundabout and Homebush Bay Drive off-ramps.
A pedestrian crossing was also relocated to a new, safer location on Australia Avenue, and it was upgraded with a pedestrian fence.
Investment for the interim safety works delivered improved safety at this key location while a solution for the major upgrade is developed, which will also address future growth in the area.
Major construction on the new intersection is due to begin in 2027 and will take about two years to complete.
“The population of Homebush has almost doubled in the past decade, placing increased pressure on Sydney’s worst roundabout.
“With additional residential and commercial growth in Wentworth Point, Carter Street precinct and Sydney Olympic Park, along with the influx of traffic to major events and the DFO, a solution needs to be implemented as soon as possible,” NSW Member for Parramatta Donna Davis said.
Source: Minister for Infrastructure, Transport, Regional Development and Local Government; NSW Government – Media Releases; Transport for NSW