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The approval of £107 million of Welsh Assembly Government and EU funding will enable the completion of the Peripheral Distributor Road (PDR) in the county.
The funding will provide a 4.8km link to the M4 at junction 38 into Port Talbot and the docks, serving as a vital link to West Wales, the UK motorway network, the trunk road network and mainland Europe.
It will create up to 600 jobs during the 33 month construction phase.
Cllr Ali Thomas, Leader of Neath Port Talbot County Borough Council said: "This is excellent news for Neath Port Talbot. This strategic road will provide an attractive gateway to the town and open up development opportunities along our waterfront area, in particular the Harbourside and Port Talbot Town centre regeneration areas.
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"It will benefit our local communities, visitors and businesses alike, and attract new investment and employment opportunities, not only during the construction period, but for generations to come. It will also improve access to local amenities and leisure facilities within the Borough, bolstering the County's already expanding tourism economy.
"Together with the recent news of further major investment by Corus at their Port Talbot plant, this announcement demonstrates the growing confidence in the area and will ensure that Neath Port Talbot continues to be an increasingly attractive place to live, work and invest."
The final phase will connect with previously completed phases and make available up to 210 hectares of mainly brownfield land for development of SMEs and other industry with access to European markets, creating employment opportunities and regeneration.
Access to Port Talbot Docks and Deep Water Harbour will be improved, creating opportunities for transfer of freight from road to sea, increased shipping activity and waterfront development.
(CD/GK)
