As part of the Revitalising Newcastle program, overhead wires from the planned light rail system will be removed.
Newcastle light rail vehicles will be fitted with onboard storage to remove the “spider-web” of overhead wires.
Minister for Transport and Infrastructure Andrew Constance said the upgrade is a game changer for the urban amenity and sustainability of Newcastle light rail.
“Implementing world-class light rail technology aligns with our plans for Newcastle to become a major university town and a city known for cutting-edge research and innovation,” Mr Constance said.
“Removing the overhead wires will preserve the aesthetics of Newcastle’s heritage architecture and its unique character as light rail breathes new life into the city centre.”
Other upgrades across Newcastle include more open space for outdoor dining, street trees and new activity precincts including Darby Plaza and Civic Link.
The upgrades will be delivered at the same time as the light rail to minimise disruption, with construction expected to start around mid-2017.