Parliamentary Secretary for Transport and Infrastructure Catherine King said the Australian Government was offering up to $25,000 per bus for operators to install the seatbelts in its ninth round of funding.

"Many regional school routes involve longer journeys at higher speeds. It's important that our kids get to school safely and this funding assists in making that journey safer," she said.

"It's a simple but very important scenario."

In a recent Kiama Council report into traffic movements around Kiama High School, parents voiced concerns about the lack of seatbelts on buses.

A Kiama Coaches spokesman said in October the cost of retrofitting the fleet could be up to $90,000 a bus, but with retrofitting costs coming down in recent years, the company would need another quote from an engineer.

"Some of our school buses are fitted with bench seats allowing three primary school students per seats," he said.

"The fitting of seat belts to bench seats may be difficult and could possibly reduce the seating capacity on school buses all these issues would depend on the outcome of an engineer's report and quotes to determine the actual costs involved.

"I don't think $25,000 would cover it."

A Department of Transport and Infrastructure spokeswoman said applicants in round eight quoted retrofitting costs of between $9500 and $40,500.

"Successful applicants received from the Australian Government almost 90% of funding required to complete works," she said.

"In our experience the cost of retrofitting is proportional to the size of the bus and to the age of the bus - older buses are more expensive to retrofit because they need additional structure to be added under the floor of the bus to allow the anchorage of the new seats."

Applications close on January 30 and bus operators must have an existing contract with a state or territory government to provide school bus services on a recognised rural and regional school bus route to be eligible.

For information on eligibility and how to apply visit www.infrastructure.gov.au/roads/s afety/seatbeltsforkids/

The NSW Department of Transport is currently investigating school bus safety across the state.