Voluntary council amalgamations on Tasmanian Government's agenda

After years spent in the "too hard basket", local council amalgamations could become a reality next year, with a firm date set for discussions to begin.

The State Government has consistently ruled out forcing councils to amalgamate but is now leading meetings aimed at moving the issue forward.

Local Government Minister Peter Gutwein says he has now written to all 29 councils, inviting the mayors, deputy mayors and general managers to a meeting in February.

"One of the key challenges that we've got is to ensure at all levels of Government were operating as effectively and efficiently as we can, and I'm beginning a conversation with local government early in the new year on that basis," he said.

Recent local government elections delivered 14 new mayors, who will serve four-year terms.

New Lord Mayor of Hobart Sue Hickey has been vocal in her support for mergers, suggesting there might eventually be only three regional bodies in Tasmania.

"We have to get on with this discussion, we cant be putting it off or calling it different names like 'reform' the whole sector needs reform, but amalgamations really are the way of the future," she said.

"It's just too inefficient running the 29 councils, 29 town halls, 29 general managers etc."

Mayor of Clarence City Council Doug Chipman is also enthusiastic but comes to the meeting having led a failed merger with the neighbouring Sorell municipality last year.

"The business case showed if we were a merged council we could make some savings, they weren't great, but nevertheless they were there," he said.

"But, we did find that when you took into account the annual (Commonwealth) Financial Assistance Grants that go to councils, that we would be over a million dollars worse off."

Pressure is likely to be increased on the State Government through the process to provide incentives or other payments to pick up the shortfall from the loss of any grants.

A poll conducted for the Property Council of Tasmania has found three in four Tasmanians believe the state has too many councils.