GPM Marine Constructions will begin the multi-staged works program in October while ensuring public access to at least part of the wharf throughout.

Minister for Lands and Water, Kevin Anderson, said the upgrade would be supported by $7.81m in funding allocated by the NSW Government.

"The heritage-listed Tathra Wharf is a South Coast icon and a recreation and tourism magnet so this funding will ensure the 1862 structure is restored for future generations while supporting jobs and the region's economy," Mr Anderson said.

Bega Valley Shire Council Acting Assets and Operations Director, Ian Macfarlane, said the works would ensure Tathra Wharf is enjoyed by the community for generations to come.

"Without restoration works and financial backing from the NSW Government, we could at some stage risk losing this historic wharf to the sea," he said.

"Recent investigations into the state of the Tathra Wharf substructure revealed the need for urgent restoration works.

"This need was amply demonstrated in April this year when a storm resulted in the loss of an external bracing pile even when partially sheltered by the Tathra headland.

"We cannot afford any further damage to the substructure, so it's terrific to see the contract signed and works scheduled.

"Works will include replacement of piles, headstocks, girders, decking, the stock yard and stock race, as well as replacement of handrails, ladders and lighting.

"All works will be like-for-like, meeting NSW State Heritage requirements to preserve the timeless character of this iconic local structure."

Mr Macfarlane said the works were expected to take approximately 12 months to complete.

"We are of course at the mercy of local weather and marine conditions, but we have a highly experienced marine restoration specialist leading the works," he said.

"GPM Marine undertook repair works to the wharf following the June 2016 East Coast Low where the huge swell caused significant damage, including lifting and moving the wharf main ramp.

"The contractor also has extensive experience in constructing much of our local marine infrastructure, including numerous boat ramps, pontoons and public jetties such as the one in Merimbula.

"These works continue the story of a 160-year-old deep water wharf from the coastal shipping era - one of a few remaining in NSW."

On completion of the substructure restoration, the wharf building will undergo works on cladding, weatherproofing and utility services. This will require a separate heritage approval and tender process.