Minister for Transport Eamon Ryan has said the new strategy 'Moving Together' is about making transport work for everyone and it is "not anti-motorist or cars".
Speaking on RTÉ's Morning Ireland, he said the strategy has to be part of the climate solution, by taking out the carbon and and shifting to public transport and cycling as well as other modes of transport.
As part of a strategy approved by the Cabinet yesterday, local authorities will have the power to introduce traffic congestion charges in the future.
However, Minister Ryan said said he does not envision congestion charges being introduced at the moment as if local authorities try to price people off the road, it would not work and would be very expensive for motorists.
"I think the best way to go is to reallocate the road space," he said. "So you've a really effective public transport system and give the space for the cyclist and the pedestrian.
"That allocation of space rather than pricing people off the road I think is the first step and the way to go."
The minister said the new strategy is about recognising that the current system in Ireland is "gridlocked" and there is a need to change direction.
He said it is not about trying to get all people out of cars but instead get a system that works.
The strategy sets out 35 specific recommendations that the Government said will cumulatively make a positive impact on reducing travel demand across society and the economy.
Also among the proposals are the removal of parking places for civil servants and a reduction in insurance charges for people who drive less.
Local authorities could also be given the power to bring in parking charges at industrial estates and retail parks.