Traffic arteries are not the result of central economic planning. They are the result of the free market dumping the externalities of cars.
At that point you have two choices. Either you ban the car, and interfere in the free market and "pick winners and losers", something Hayek wouldn't like, or you adapt the infrastructure to what people are asking for in order to reduce traffic fatalities and other externalities of car ownership.
Central planning would be saying - no, cars aren't working at scale, we will limit the production of cars.
In this case the government didn't do central planning. It didn't pick winners and losers. It went with what the free market decided.