A Lebanese national accused of running a red light and killing two women in Melbourne will be released on bail - but only if his family can rustle up a $40,000 surety.

Mohamad Hassan, 20, faces two counts each of culpable driving causing death and dangerous driving causing death over a crash in Atwood that killed Bozica Nikolic and Subha Deumic.

He was granted bail in the Melbourne Magistrates Court earlier in June but the director of public prosecutions on Tuesday appealed this in the Victorian Supreme Court.

Justice Michael Croucher rejected the DPP's appeal, meaning Hassan's bail continues.

Weighing up the bail conditions imposed and Hassan's personal circumstances, he said it was open to the magistrate to make the decision she did.

The DPP had argued Magistrate Kay Robertson failed to appropriately consider Hassan's circumstances when she granted bail on June 7.

"There was a very real and unacceptable risk that he would abscond and go back to Lebanon," crown prosecutor Andrew Grant told the court.

Mr Grant said Australia and Lebanon do not have an extradition treaty, and Hassan had been living in Australia for less than 12 months when he was arrested.

The prosecutor proposed a $100,000 surety because the amount set by the magistrate was not sufficient to deter a flight risk given the charges Hassan faces.

But Justice Croucher noted Hassan has remained in custody since he was granted bail because his family are struggling to raise the $40,000 surety included in his bail conditions.

Police allege Hassan was speeding and ran a red light when he hit the women's car, which was turning right and halfway through an intersection.

The speedometer in Hassan's vehicle was frozen at 130km/h, Mr Grant said.

Some of the victims' relatives were driving behind them and witnessed the fatal crash.

When Hassan was originally granted bail, the magistrate declared him a flight risk.

But she also imposed conditions which prohibit him from having or obtaining any travel documents.