Automatic Vehicle Identification (AVI) in real time is becoming an urgent necessity due to rapid increase in the number of vehicles on roads. The Radio Frequency Identification (RFID) Technology can be used for vehicle identification to gather information in real-time from roads by getting the vehicles location from RFID readers placed in the vehicle. This paper focuses on designing the Public Vehicle Location System (PVLS). The proposed structure consists of passive RFID tags placed at various locations on the chosen route, RFID reader on the Bus, wireless communication with a PC and commanding software (RFID reader and database structure), also PVLS applications and website. The designed system controls, manages and monitors the performance of RFID readers. It also filters and stores the information in an appropriate format so that it could be used without difficulty in the application system and website. The system implemented by using RFID is placed in the Bus which is programmed by Visual C# 2008 with Compact .Net Framework.