Since parking meters were installed last Monday, a space in the CBD now costs $2 for 30 minutes, one hour or two hours.

But with construction of the $11 million four-storey car park expected to be completed by the end of the year, the promise of a free park is not too far away.

A 45m crane has now arrived on the site, next to Wollongong train station, as construction of the ground floor goes ahead.

NSW Transport and Roads Minister David Campbell said the car park was one way to avoid paying for parking in the city.

"From next year, commuters who travel by train to work will be able to use the brand new 350-space commuter car park at the station for no charge," he said.

"Shoppers and people heading to appointments should think about travelling to the Wollongong CBD using the NSW Government's free Gong Shuttle or by local bus services."

A spokesman for Mr Campbell said no measures would be put in place to prevent non-commuters from using the car park.

"Most commuter car park users arrive at the car park before or during the morning peak period and therefore it is genuine transport customers who take up the majority of spaces," he said. "If there are any extra spaces available later in the day, there is nothing to stop other people from using them."

The car park is one of four free car parks - along with ones at Helensburgh, Woonona and Waterfall - to be provided in the region by the end of the year.