Several Upper Mountains community groups have urged the state Labor Party to let work on the Blackheath-Little Hartley tunnel continue.
Earlier in March, Labor said it would defer the tunnel for two years if elected on Saturday, March 25.
But the groups, including Blackheath Highway Action Group and Save Station Street, have asked NSW Labor to at least continue the EIS and related works including the design work (artist's impression pictured), which will take two years to complete according to Transport for NSW.
They said this would enable the tunnel to be shovel ready by the time the federal government's own two-year deferral expires and a budget allocation of $2 billion becomes available.
Michael Paag, on behalf of the groups, said continuing the work would have "little impact" on the budget.
Blue Mountains MP, Trish Doyle, said the Labor position "sensibly" aligned with the federal government.
She reiterated the tunnel proposal would not be shelved, merely deferred, which also took into account advice from Infrastructure NSW (INSW).
"Is this project definitely off the table? No. We would defer it and review the project in its entirety," she said.
She also said former regional transport and roads minister and member for Bathurst, Paul Toole, had misled the public.
"This tunnel has never been funded. He led the public to believe that it was going ahead when no money had been approved by his colleagues."
State opposition leader, Chris Minns, said recently that an amount of $1.1 billion has been allocated by the state government but the overall cost of the project could be up to $11 billion, leaving a $10 billion unfunded hole.
And last May, INSW recommended the state government reconsider the timing of a number of large projects, including the tunnel.
"If elected, Labor will respect the expert advice of INSW to pause the proposal and consider the business case, environmental impacts, flawed consultation process and review the residents' concerns across the Blue Mountains before proceeding with any tunnelling," Ms Doyle said.