Nicholson is a small town in East Gippsland, Victoria, Australia, 295 km east of the state capital Melbourne. It is situated between the larger towns of Bairnsdale and Lakes Entrance. At the 2006 census, Nicholson and surrounds had a population of 1,504.Nicholson is located on the Princes Highway and lies on the banks of the Nicholson River. Nicholson Post Office opened on 1 August 1885.