The bicycle lane on College Street in central Sydney will be ripped up as part of the New South Wales government's plans for city traffic.

The Transport and Roads ministers have today released their plans for how people will move around the CBD over the next 20 years.

The strategy will see the Kent Street cycle path extended but the College Street one, which was opened less than three years ago, will go.

Transport Minister Gladys Berejiklian says she knows not everyone will be happy.

"Minister Gay and I believe that this is the best course for the future of an integrated road and transport strategy for the city centre," she said.

In the plan, bus routes will be redesigned to allow for light rail to run down George Street from Circular Quay.

Ms Berejiklian says that will lead to 220 fewer buses entering the city in peak hours.

"But there will still be several hundred buses dropping people off," she said.

"Not everybody will live along the light rail route."

The strategy also includes expanded taxi bays to make up for fewer on-street parking spots.

Ms Berejiklian says it is designed to keep the city moving as the population increases.

"More than 630,000 trips are made into the city centre every weekday and this is set to increase by about 150,000 trips a day by 2031," she said.

Opposition criticises strategy

The State Opposition says the government is taking the wrong approach and the plan is light on detail.

Opposition roads spokesman Ryan Park says the government should be encouraging cyclists in the city.

"This is a government that continually says that congestion is a problem in the city," he said.

"We know that it's a problem in the city, yet here is an opportunity to support people who are trying to get out of their car and what they are doing is going to make it more difficult."

Glenn Byres from the Property Council disagrees and says the government is on the right track.

"There will inevitably be winners and losers but we've got a big challenge as a city to think our way carefully through solutions that will set us up for the long term," he said.

"The immediate challenge of course is to make sure the city continues to function through construction of the light rail phase."

The plans have been released for consultation.