The two councils have shared in a grant of more than $36,000 to conduct a study to develop and assess potential management options for the entrance to the lake.

"The study will identify and cost a preferred option to address erosion issues in the vicinity of the entrance channel, including the rate of erosion and what locations are at the highest risk of erosion," a Wollongong City Council spokesperson said.

"The study will provide information that will assist us to protect areas around the lake entrance including infrastructure, habitats and public recreation areas."

Read more: Plans to flatten Possums jumps put on hold as urgent talks continue

The two councils have already developed a coastal management program for the lake, which was designed to provide a long-term strategy through to 2030.

Meanwhile, Shellharbour City Council has also received more than $53,000 to conduct a scoping study as part of the process to develop a coastal management program for its seaside environments.

This will review the progress the council has made in managing coastal issues, establish an understanding of the current situation, and lay out the focus of the management program, which will replace the current Shellharbour Coastal Zone Management Plan.

Already both councils have received a grant under the 2020-21 round of the NSW government's Coastal and Estuary Grants program that will provide for the eradication of invasive weeds around Lake Illawarra and the reinstatement of native vegetation.

"Wollongong City Council and Shellharbour City Council have demonstrated a strong commitment to exploring local coastlines to better understand their estuarine environments, and this funding from the NSW Government will allow these councils to continue their investigation work and scoping studies," South Coast MP and Local Government Minister Shelley Hancock said.

The Wollongong City Council spokesperson said the council had received several grants to help it implement the actions included within the Lake Illawarra coastal management program.

Read more: Gerringong man meets the teen who saved his life

One of the projects already funded by the program this year will allow the council to undertake water quality monitoring in the lake and its catchment to help assess its condition.

This financial year Wollongong City Council has also been granted funding for the construction of the seawall at North Wollongong Beach, and dune stabilisation at Port Kembla.

Meanwhile, Shellharbour earlier received grants for rainforest regeneration at Bass Point, and rebuilding the Warilla Beach seawall.

We depend on subscription revenue to support our journalism. If you are able, please subscribe here. If you are already a subscriber, thank you for your support.