In May last year, the Otago Daily Times reported the New Zealand Transport Agency was considering removing the lanes, which do not meet safety standards, and directing cyclists to other routes.
The lanes are on each side of the highway from Weaver St to Redcastle Rd, but are narrow.
There are space and safety issues with traffic congestion in some areas (such as the North End shopping centre) and car parks along the side of the street are also narrow.
Vehicles are often parked over the cycle lane and car doors opened without checking for cyclists.
NZTA senior safety engineer Roy Johnston said last week the Waitaki District Council had, after discussion, decided to leave the State Highway 1 cycle lanes in place.
''However, we are putting up signs for an alternative nearby cycle route, so cyclists have another option to the highway, one that adds little extra to their journey time. We are working with the council on signage for the alternative cycle route,'' he said.
For cyclists travelling south, the alternative route will turn off at Waitaki Ave, travel next to the railway line on the track to Waitaki Boys' High School and rejoin the cycle lanes on Thames St at the Orwell St and Ouse St traffic signals.
Northbound cyclists can turn off at the Ouse St traffic signals and Orwell St, cycling past local schools before rejoining at Balmoral St.
Cycle lanes will be retained south of Ouse St (towards the Oamaru town centre) and north of Balmoral St-Waitaki Ave (towards Pukeuri).
Mr Johnston said this proposal was ''a holding point'' until 2018-21, when funding was expected from the National Land Transport Programme to investigate the future management of the north Oamaru section of SH1.
