Transport Minister Andrew Constance said the tunnel, which will run three lanes of traffic in each direction, would cut travel times between North Sydney and Olympic Park by up to 20 minutes.
“This city-shaping piece of infrastructure will deliver a vital boost to the NSW economy, with the tunnel and freeway upgrade, along with Beaches Link, expected to support around 15,000 full-time equivalent jobs,” Mr Constance said.
Planning Minister Rob Stokes said any trees removed need to be replaced at a ratio of two-to-one.
“Community feedback on the project has been valuable in helping understand and deliver positive changes to the design and plan, and we will continue to work closely with local communities as the project gets underway,” Mr Stokes said.