The NZ Transport Agency is constructing the crossing point for pedestrians on State Highway 1 (Clyde St) at the intersection of Hospital Rd and Lewin St, at the southern end of Balclutha.
NZTA senior safety engineer Roy Johnston said the agency decided to install the crossing after concerns were raised by a resident.
A subsequent pedestrian survey also indicated the majority of people coming to and from Hospital Rd crossed at the Hospital Rd and Lewin St intersection, he said.
The refuge was at the four-way intersection at the start of a passing lane leading up a hill.
"To think that you’re going to get refuge and safety in the middle of State Highway 1 is just ludicrous," Mr Cadogan said.
He believed pedestrians would go from "footpath to footpath" without stopping in the middle or that children staying in the middle would be at risk of being knocked over in the wake of heavy traffic.
"I’m really concerned with the chances of a serious accident or possibly a fatality."
The refuge would be better further north of the intersection, closer to Ayr St or Centennial Ave, as there were no double lanes and fewer roads joining the highway.
Schoolchildren were known to cross Clyde St nearer to Ayr St after walking down the hill from Lewin St, he said.
Clutha district councillors also expressed their concern over the crossing.
Cr Ken Payne said the area was notorious for accidents and he could see it becoming a site for catastrophe.
"There’s been cars rolled over right where [the refuge] is."
It was a "shock" to find out about the crossing and he wished the council had been consulted in the process.
Cr Alison Ludemann was also disappointed there had been a lack of consultation with council staff and councillors.
She said a safe crossing had been needed for years but it was in the wrong place at the busy intersection.
Mr Cadogan said several people had provided feedback to the council on its community plan about where a new crossing should go.
"There were a lot of crossings suggested on State Highway 1 but not one of them was there."
Mr Johnston said the crossing point was designed to avoid impeding turning traffic and to provide a crossing point for people going to and from Hospital Rd.
He admitted limited consultation was undertaken with regard to the project and that NZTA would be happy to investigate the need for further crossing facilities in Balclutha.
