Villagers blocked the island's main highway on November 20 after two villagers on a motorbike were killed in a collision. It was not the first time people from Khor Ane had been killed on the bend, nor was it the first time villagers had blocked the road.
The B7 million will pay for installation of two new light poles, concrete barriers and improvements to the road surface.
However, a demand of the villagers that a police checkpoint be built just north of the bend cannot be sustained because of a lack of both finance and personnel.
A meeting between relevant authorities today (January 19) at Provincial Hall decided that the checkpoint should be shelved indefinitely.
A Deputy Commander of Phuket Police, Pol Col Peerayut Karajaedee, suggested that a radar speed camera be installed, to force drivers to be aware of their speed in the hope that they will slow down for the bend.
But this suggestion, too, seems unlikely to be realised because of a lack of funds.
For a long-term solution, authorities are to negotiate with owners of land to the west of the road to expropriate enough land for the entire road to be moved further away from the village entrance.