Ambae's Manoro Voui volcano on Mt Lombenbe erupted in September last year prompting the island's evacuation.
Volcanic activity re-intensified several weeks ago and preparations are underway for another evacuation.
Director General of Disaster Management Jesse Benjamin said a second evacuation, which could cost $US1.8 m, would be an orderly and structured process, unlike last year.
The Daily Post reported the government might seek the assistance of donor countries, like Australia and New Zealand, to help with transport.
Mr Benjamin said the government was concerned about the safety of people and he warned that those intending to remain on the island should reconsider their plans.
The Daily Post said the Penama Provincial Government planned to bring chiefs from Pentecost and Maewo to a forum on Ambae to talk about securing land for permanent resettlement.
There have been indications from these islands that land would be offered to the displaced families.