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The give way sign at the corner of Highcliff and Camp Rds is set to remain, but the speed limit may be reviewed.
In The Star last week, Pukehiki residents called for the speed limit in Highcliff Rd to be lowered to 50kmh from 70kmh, and for the give way sign at the intersection on Camp Rd to be changed to a stop sign.
Highcliff Rd resident Trish Penman said the combination of residents driving at the speed limit and tourists driving slower than that often made the intersection "absolute chaos''.
Dunedin City Council transport group manager Richard Saunders said staff had received inquiries regarding speed on Camp Rd, and provided data which showed the mean operating speeds were well below 50kmh.
"Camp Rd is considered a medium-to-high risk road only at the northern end (near Larnach Castle) but only medium-to-low risk road for the remainder.''
He said the council would not consider changing the give way sign to a stop sign at the Camp-Highcliff Rds intersection because there was "ample visibility to see oncoming traffic''.
Speed limit reductions occurred on the peninsula in 2012 as part of the Speed Limits Bylaw Amendment 6.
"Council staff are beginning to put together our next list of speed limit changes and are considering changes to speed limits on the peninsula.
"Any proposed speed limit changes will be assessed (using an NZ Transport Agency risk assessment tool) to determine the safe and appropriate speed for a road.''