Plastic food containers and utensils used by takeaway stores are set to be phased out by the Hobart City Council in what it is calling a nation-leading move.

The council voted 10-1 to amend draft environmental health bylaws, banning single use, petroleum-based plastic containers and utensils by 2020.

The architect of the change, Greens Alderman Bill Harvey, said they would be replaced by compostable items.

He said the proposal had attracted broad public support.

"People are aware now; so many Australians watched War on Waste on the ABC and that's influenced their understanding of plastic pollution, so this is something that I think now communities expect," said Alderman Harvey.

"We're responsible for waste management in the city, so we've taken a lead.

"We've taken a really responsible approach to both litter management and reducing landfill, so it's really exciting to be part of a council that's leading the nation."

The ABC initiative War on Waste explored the toll on the environment from plastics and other rubbish, and how individuals and communities could help.

Under the plan, which is part of the council's Zero Waste to Landfill strategy, a special facility will be built to deal with the waste.

Alderman Harvey said one-third of Hobart's food retailers already used compostable items and he did not expect much resistance.

"Eventually we'll have a compost system for commercial outlets and all the compostable organic material from cafes and restaurants will go off to a facility," he said.

"But we haven't got that yet. That's one of our ambitions."

Alderman Harvey said the council would also lobby the State Government to look at broadening the scope of its plastic shopping bags laws introduced in 2013.

"While they're reviewing the bag ban they should also consider how they could help prevent other forms of plastic pollution entering the environment," he said.

Business worried about cost burden

Stakeholders and the public will have input on amending the by-law but Steve Old from the Tasmanian Hospitality Association was upset his organisation had not be warned about the move.

"The frustration for us is there's been no consultation, no talking to businesses at all," he said.

"Everyone wants to do the right thing by the environment but it's going to have a massive impact on businesses and no-one has even come to talk to us about it.

"You'd hope before they introduce these policies, they'd come and talk to the people who actually are affected by them. They need to talk to businesses to find out if they can actually meet those timelines.

"If it's going to make it more expensive for business, then someone is going to end up paying.

"Margins in restaurants are not high anyway - if you add a cost then something has to give.

Robert Mallett from the Small Business Council said it would be better for the council to encourage retailers to use compostable containers as a point of difference for Hobart.

But if it was to be introduced, he believed the measure should be statewide rather than in just one area.

"Council does have a responsibility to manage it landfill ... but to make an impost upon Hobart city business ... I think is unfortunate," he said.

"Possibly what they could have done was to have lobbied the Tasmanian Government so that it became a statewide initiative rather than just a Hobart City Council initiative.".