The Federal Government has committed $85 million to dual a stretch of the Bussell Highway between Busselton and Capel supporting 570 jobs and opportunities for local businesses.
The project will include construction between the Capel Bypass and Hutton Road, along with reconstruction works for a section of the existing carriageway.
Preparation works, including design and environmental approvals, for stage two of the project are continuing.
The second stage includes construction of the remaining 12-kilometre section between Hutton Road and Busselton, along with three bridges.
The McGowan Government completed $4.5 million worth of pre-construction works on Bussell Highway earlier this year, paving the way for the next stage of the project to commence.
Busselton resident Helga van Schoor campaigned for funding to dual the highway after she and three of her children were seriously injured in a head on collision south of Capel in April 2017.
Ms van Schoor started a petition for the highway to be dualled which garnered 6,000 signatures.
She said the funding announcement had made her day and if felt surreal that her family's devastating experience had turned into something positive.
"My petition broke the record for all the petitions ever run from Vasse MLA Libby Mettam's office," she said.
"If you want Busselton to open up to tourism with the airport it is really bad to have infrastructure that is unsafe.
"What's happened now is the government has backed the community by stepping up and funding the project so it can be finished, it just makes sense."
Ms van Schoor said dualling the highway would make improve safety for locals and tourists who travelled from Perth and elsewhere
"It was really a big safety thing, it is good that the Government responded and is doing something about it, which I am thankful for," she said.
"I would really like to give Libby Mettam a big plug, it wasn't me, I just drove the campaign, Libby was the one that kept pushing.
"I am really grateful to Libby. I could not have had a better person helping me through this difficult time."
Vasse MLA Libby Mettam thanked Forrest MP Nola Marino for her support for the funding and the many people, including Ms van Schoor and the 6,000 petitioners who joined her over a number of years in advocating for the important road upgrade.
"This stretch of highway has consistently been identified by the RAC as one of the riskiest roads in the state," she said.
"It is a strategic freight and tourism route and it is vital that this road has finally been prioritised by the state government."
South West MLC Adele Farina said with more than 15,000 vehicles using the Bussell Highway daily, the construction of the much awaited second carriageway would make travel along the road safer.
"Once complete, not only will the Bussell Highway dual carriageway greatly improve road safety, it will ensure free-flowing traffic throughout the South West especially at peak times," she said.
"This project is important for the whole region and will deliver critical investment to the region creating local jobs as the region recovers from COVID-19."
Transport Minister Rita Saffioti said the state government worked hard to lobby the Commonwealth for the funding and she was pleased it had come to the table.