Tasmania is set to follow the lead of mainland jurisdictions and introduce a container refund scheme of 10 cents per item returned.
Drink containers make up 45 per cent of the island's litter volume, according to figures from the state government.
Details of the proposed scheme, slated to begin in late 2022, were released on Thursday for public consultation.
The proposed model, a split-responsibility Container Refund Scheme, is already used in NSW and the ACT and is being developed in Victoria.
"It will see people receive a refund for returning eligible drink containers to designated refund points around the state," Environment and Parks Minister Roger Jaensch said.
"(This) will significantly reduce litter and increase recycling rates, thereby driving our circular economy."
Under the model, a scheme coordinator will run the administration and finances, while a separate network operator will run the network of refund points.
Tasmania is also proposing to introduce a waste levy for businesses and councils from November.
The levy is likely to be staggered, starting at $20 per tonne in the first year and rising to $60 after four years.