The controversial changes to the clearways through the Bulli CBD have been put on hold.

As part of a suite of plans to deal with increasing traffic congestion along the Princes Highway at Bulli, Transport for NSW had flagged longer clearway hours.

The northbound clearway is now in operation between 3-6pm on weekdays but will also operate between 6.30-9.30am.

Southbound, the clearway will be extended to operate over those same hours, as well as 11am to 1pm Saturday.

These changes would kick in after other changes like extra parking, removing right turns in and out of Station Street and creating a dedicated right turn arrow at the Park Road traffic lights.

However, Bulli shop owners have been fighting the plans, saying it would signal the end of their businesses.

That opposition - along with lobbying from local MPs Maryanne Stuart and Ryan Park - has seen the clearway extensions put on ice.

The Mercury understands that Transport for NSW will introduce the other changes and then assess the level of improvements to traffic flow, to see if the clearways are warranted.

Stokes Lane Cafe owner Sam Dodd was one of the business owners fighting the clearways and he remained sceptical.

"It's fantastic news for the Bulli businesses, it's a smart move for Transport finally, but what happens is they'd have to do the work anyway before they can put the clearways in," Mr Dodd said.

"So now they're going to do the work and they'll put the clearways in anyway, because that's what they're going to do.

"It's great that they've put it on hold but they need to come out and give us a date for how long they're going to put it on hold for."

Ms Stuart was pleased with the change of heart from Transport for NSW.

"This is a big win for those residents and businesses in Bulli who were deeply concerned about the impacts the extended clearways would have," Ms Stuart said.