The Rixons On Demand service began in 2018, and 14,200 trips have been taken in the time since.

"We have been trialling the On Demand pilots over the past three years, with more than 1.1 million trips taken by customers around the state," Minister for Regional Transport and Roads, Sam Farraway, said.

"On Demand means people can access public transport close to home to get them to appointments in a more flexible and convenient way, which is important living in regional areas."

South Coast MP Shelley Hancock said she welcomed the news that the popular On Demand service was here to stay.

"The Pilot has been immensely popular," she said. "Since the trial began in 2018, 14,200 trips have been taken by customer.

"Rixons Buses do a wonderful job in running the service, connecting as far north as Milton and as far south as Tuross Head to Canberra via Batemans Bay.

"It's great that the NSW Government is continually exploring new and innovative ways to provide public transport options that meet the community's needs in the region."

The continuing South Coast to Canberra Rixons On Demand service will mirror the pilot service.