For Gerrans (Orica-GreenEDGE), his win in the 139-kilometre stage from Glenelg to Campbelltown, was his first individual victory since he won the Grand Prix Cycliste de Montreal in Canada in August 2014. But afterwards the 35-year-old Victorian was almost more relieved than happy as his win came on a day that was marred by a crash involving six riders inside the last 20km and included a perilous 5km descent to the finish line from the top of the Corkscrew climb, in which he and the leaders hit a top speed of 104.9km/h.

Gerrans won the stage by outsprinting South Australian Rohan Dennis (BMC), who won the Tour Down Under overall last year, Canadian Michael Woods (Cannondale) and seven others, including Tasmanian Richie Porte (BMC), who placed ninth.

Asked about the finish, which included a sharp right-hand bend inside the last 500m, an exhausted Gerrans told television reporters soon after crossing the line: "Yeah … I'm not a fan. It felt like we really had to take our lives into our hands in that final. There was a big crash on the Gorge [before the Corkscrew], a couple of very hairy moments on the descent of the Corkscrew. I'm thrilled to be able to have won the stage, but there was some risk involved."

After the podium presentation, Gerrans was more measured in his view of the finale. Asked about his comments on television and if the danger was from the course or riders taking excessive risk, Gerrans said: "It goes hand-in-hand. You really have a fast, technical downhill like that so close to the finish, where placement is so crucial, obviously guys are going to take a lot of risk."

Race director Mike Turtur said: "There's nothing wrong with the descent. They are very good corners, a really good road surface. He [Gerrans] said that in the context of riders taking risks in the early season ... as a real pro, he knows it's not the best idea."

Gerrans' win earned him a 10 second time bonus, while Dennis got a 6s bonus and Woods 4s.

Gerrans will start Friday's 138km fourth stage from Norwood to Victor Harbor with a 3s overall lead on Queenslander Jay McCarthy (Tinkoff) who lost the race lead after placing fourth, and 5s on Dennis.

The stage was gripping, McCarthy riding superbly to earn two bonus seconds for third place in two intermediate sprints. His team did particularly well to position him for the Corkscrew.

Dennis, Porte and their BMC team did well to take the race on, especially with Porte attacking on the climb and Dennis for his calm and confidence that he would rejoin the stage leaders after drifting back under Porte's accelerations and the attack by Colombian Sergio Henao (Sky) and Woods who both led over the Cork.

And kudos to Gerrans, who crashed inside the last 500m of stage two on Wednesday but rebounded on Thursday to climb smart, descend well and use his sprinting prowess in the lead group of 10 that formed on the descent to win the stage.

The last 20km was nail-biting. After a crash of six riders on Gorge Road leading to the Corkscrew, the average speed for one 5km stretch was a staggering 93.8km/h.

The peloton was split by the crash, but up front the anxiety was clear, as riders jostled for the best and safest position near the front with a sharp left turn on to the climb.

Tinkoff rode brilliantly to have McCarthy set up for the climb, but after losing his teammates one by one, he then had to defend alone as Porte ignited the fireworks.

Knowing the danger of what awaited on the descent, it was remarkable that the leaders managed to bomb their way down and make it to the finish upright.