Member for Blue Mountains Phil Koperberg took up the issue more than six months ago when he learned 60 Yellow Rock properties would be excluded from the project due to a zoning technicality.

Water Minister Phillip Costa has now directed Sydney Water to fork out the extra $15 million to include the Singles Ridge and Heather Glen roads properties in the subsidised scheme.

Singles Ridge Road resident Tony Foster was ecstatic the decision had finally been taken.

“Well I think it’s fantastic and I think it’s a credit to Phil Koperberg that he’s persevered with it because I honestly thought they’d give up,” he said.

At the heart of the residents’ anger was that they were to be left out despite the fact a service pipe would run directly past their houses.

“It struck me as insane that you’re designing public infrastructure that goes past so many people and didn’t (include them). And no design . . . capacity for the future,” said Mr Foster.

Mr Koperberg was similarly baffled by the original decision and made his feelings known to Premier Nathan Rees and Mr Costa.

“After a lot of argy bargy . . . the Premier saw fit to ensure that this got done,” said Mr Koperberg.

The process dragged on much longer than Mr Koperberg expected after he flagged a resolution within weeks back in February. He said the delay was due to a reluctance from Sydney Water to spend the extra money.

“There’s been resistance all over the place but the Premier was determined and I was determined . . . On this occasion, the political will prevailed over the bureaucratic want.”

Work on the overall scheme has already begun and once new designs are finalised, the additional works will commence.