A strengthening project will be undertaken on the Charles Street bridge this year under a combined federal and state Freight Capacity Upgrade Program.
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The Charles Street bridge is among 11 bridges to undergo strengthening during the first stage, which will also see two other bridges replaced and road works carried out at 14 other sites.
The program is being delivered over five years, with tenders for the Charles Street bridge and other bridge sites expected to be called mid-2023.
Tasmanian Labor Senator Helen Polley said the upgrade would be beneficial for road users, businesses and people that are moving freight.
"I think this will be a really good investment in terms of moving freight around the north of the state," Ms Polley said.
"Any investment in infrastructure is going to be beneficial for the jobs that it creates and the confidence that it gives to the local economy."
Senator for Queensland and Assistant Minister for Regional Development Anthony Chisholm said the Charles Street bridge was among the first of many projects to come.
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"It will provide a game-changer in terms of building a safer, more productive transport network benefiting all Tasmanian road users," Mr Chisholm said.
"We want to support important projects that we know create economic opportunity, create more jobs, but also create safer communities as well."
He said the project would go to tender in a couple of months and commence later in the year.
"We're hopeful that there'll be plenty of people willing and able to work locally who will be able to dedicate time to upgrade this important facility."
Mr Chisholm said the cost would also be determined through the tender process.
"The Australian government has committed $80 million to the transformational program, with the Tasmanian government set to contribute $20 million," Mr Chisholm said.
Senator Polley said the Charles Street bridge was chosen as they believed it was critical to Northern Tasmania.
"It's a very important piece of infrastructure and a main arterial road through Launceston currently," Ms Polley said.
"That investment is good for road users, but also those moving freight and within the transport sector.
"We need to give them the confidence to keep investing."
Infrastructure and Transport Minister Michael Ferguson said the investment in Tasmania was great news for the community and would back local jobs while also supporting the freight industry.
"The Freight Capacity Upgrade Program not only enhances the productivity of Tasmanian freight, but also increases efficiency and road safety," Mr Ferguson said.
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