Cardiff Council say that building a tram linking Cardiff Bay and the city centre "remains a priority." In the green paper published today, the council say that Light Rail Transit system would "encourage development and enable the expansion of the city centre southwards."
If built, it would follow a similar route to the current rail link to Cardiff Bay.
The paper also says that completing the Cardiff Bay link road to the east of the capital "remains a priority" to avoid people driving through the city.
A new Indoor Arena is also included in the plans along with new public open spaces.
It also suggests 6,000 new homes between Cardiff Bay and the city centre.
More top news
More than a thousand riders will be taking part in a series of events in and around the town.
Some warm spells of sunshine will develop, although scattered heavy and thundery showers are also expected during the afternoon.
A yellow 'be aware' warning has been issued by the Met Office for much of Wales.