Dubbo MP Dugald Saunders will switch on the lights at the intersection of Cobra and Fitzroy streets at 6pm on Tuesday.
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It'll mark the completion of the $19 million intersection upgrade.
The year-long project was designed to improve traffic flow, particularly during peak traffic times.
"These lights will make a huge difference to the Dubbo community by improving safety and reducing congestion for both highway and local traffic, particularly during peak times," Mr Saunders said.
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"We are committed to building safer and more reliable journeys for those travelling through Dubbo and better connecting communities in the Central West."
Deputy Premier and Minister for Regional Transport and Roads Paul Toole said the final stage of the project was the construction of the new bridge at River Street.
He said the final, detailed designed for the bridge was due for completion in February and early work on the surrounding intersections would start soon after.
"We're incredibly proud to have delivered four of the five Building a Better Dubbo projects under this program, which are already saving motorists time and enabling more efficient freight transport," Mr Toole said.
"And the community has benefited from this work beyond traffic and infrastructure improvements, with more than 1000 jobs created across all four completed projects."
The other projects completed under Building a Better Dubbo are: the Cobra Fitzroy intersection upgrade (completed in December), Newell Highway and Mitchell Highway intersection upgrade (completed in November), LH Ford Bridge strengthening and upgrade (completed in march 2020) and Newell Highway upgrade in west Dubbo (completed in early 2019).
Mr Saunders said $19 million NSW government-funded upgrade to the Cobra and Fitzroy street intersection was a really important part of the Building a Better Dubbo infrastructure project. The project aims to cut down travel time, make roads safer and ease congestion.