The $11.3 million sculpture was approved six votes to four following more than an hour of heated debate over the project's substantial cost blowout by $8 million
Once completed, a 'bold and heroic' sculpture will soar 58 metres over Sydney's CBD.
A battle over the Cloud Arch had been brewing among the councillors since last week, when updated plans for the artwork were released, revealing the cost had increased from $3.5 million to $11.3 million.
Lord mayor Clover Moore attributed the cost increase to "serious and unforseen constraints" caused by the incompatibility of the initial Cloud Arch design with the light rail and transport infrastructure located beneath George Street.
ENDS