The kindergarten, located at Harcourt Valley Primary School, will replace the former Harcourt Preschool.

The project was made possible through a partnership of multiple stakeholders, including the state government, Mount Alexander Shire council and the Harcourt Preschool Parent Advisory Group.

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The state government invested $1.8 million in the kindergarten, which was built using a modular construction, to deliver a high-quality learning environment and outdoor education space for local children.

Member for Bendigo West Maree Edwards said she's thrilled families in Harcourt will be able to send their children to a local kindergarten.

"This means children in Harcourt will not only get the best start to life at kinder, but their transition to school will be made much easier," Ms Edwards said.

Last November, the state government announced kindergarten would be provided free of charge in 2021.

The $169.6 million policy is expected to save families $2000.

"Not only will free kinder save families thousands of dollars - it'll get more kids into kinder, back early childhood services and workers, and help support more parents, especially women, into the workforce," early childhood minister Ingrid Stitt said.

The government also announced grants will be made available to allow more schools to provide before and after-school care.

Education minister James Merlino said the policy would mean out-of-hours care would be available at almost all government schools.

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