Free parking on Rhodfa'r Felin in Cardigan - the Bathhouse link road - will soon be a thing of the past.
This week's Ceredigion Cabinet gave the go-ahead for a clearway order to be imposed on the road, possibly within the next two months.
The move was welcomed by local councillors.
"This clearway is needed very badly," said Cllr John Adams-Lewis.
"I'm surprised there hasn't been an accident."
Cllr Mark Cole also welcomed the order.
"This is an important step forward, it's been highlighted in traffic management committees. The traffic snakes right back the road to the second roundabout."
The order will be advertised and as long as there are no objections councillors were told it could be imposed within eight weeks time.