Bristol City Council has selected Balfour Beatty to build a £26 million guided busway.
The 'Metrobus' scheme will link the Long Ashton Park and Ride to Cumberland Road on the south side of the city centre through a 3.5 kilometre route.
Martyn Osborne, Balfour Beatty Wales & West Managing Director, said: "We look forward to working with Bristol City Council and our local supply chain partners to deliver this important infrastructure scheme which will reduce congestion in the city. Through the use of an innovative technique called 'slip-formed concreting', we aim to be able to offer bus passengers the smoothest and most reliable journeys available on guided busways in the UK today."
The scheme is expected to open at the end of 2016.
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