The old southern railway station in Montego Bay St. James, is to be converted into a new transport centre.
Transport minister Audley Shaw expressed hope, that work will be completed by next year.
He was speaking with reporters during a tour of the current transportation centre.
In addition to being in need of renovation, the current facility, located on the northern side of property owned by the Jamaica Railway Corporation, is said to be inadequate to accommodate the large number of vehicles and commuters it serves.
As such, a newer, larger, second transportation centre will be built on the southern section of the JRC property.
Mr Shaw said the project will be done in partnership with the St. James Municipal Corporation.
He added, that upgrading works will be carried out at the current transportation centre.