A new environmental battle is looming in Tasmania as the state opens up untouched areas for eco-tourism.

The Hodgman Government wants tourism operators to take advantage of development opportunities inside national parks and World Heritage Areas.

It has received 37 proposals, including one from operator Ian Johnstone to build permanent hut-style accommodation along the South Coast Track bushwalking route, 110 kilometres from Hobart.

He believes he can increase the numbers walking the track by between 1000 and 1500 people each year.

Currently, to do the seven-day walk, which is known for its rugged coastline, boat crossings and pristine forest, tourists must be self sufficient and carry a heavy pack including all of their own supplies.

"People that are coming and walking in the South Coast Track, are really the young, the fit and the very strong, who are happy to carry a heavy pack which means a lot of the population really can't experience it," Mr Johnstone said.

"By being able to introduce a walk with accommodation it means that you only carry a much lighter pack.

"You've got guides to look after your welfare and to help with meals and so forth and it offers a softer option for people to explore and enjoy this magnificent track."

Mr Johnstone's company runs a similar walk on the former convict settlement of Maria Island on the east coast of Tasmania.

Mr Johnstone's company runs a similar walk on the former convict settlement of Maria Island on the east coast of Tasmania. ( ABC News: Michael Atkin )

He said although tourism development in sensitive wilderness areas has been possible, the hurdles to new proposals were almost insurmountable.

"You could say it was pretty well impossible," Mr Johnstone said.

"Just for the Three Capes project that the Federal and State Government has been behind, it took a number of years for the management plan there to go through the EPA and the various approval processes.

"For a single operator to try and do that with their own effort is really overwhelming."

Eco-tourism plan a 'game changer' for economy

Liberal Premier Will Hodgman is calling the eco-tourism push an economic game changer for Tasmania's job-starved economy.

It could lead to resorts, cruises, helicopter flights and adventure sport tours.

"We are looking after our precious natural areas but we're also going to use them to increase the number of tourists that come to this state, to grow our economy, to leverage off what is one of our great competitive advantages," Mr Hodgman said.

However, Greens leader Christine Milne is warning mass protests will follow if development goes ahead in World Heritage Areas and national parks.

"Once again Tasmania will be an environmental battleground if Tony Abbott and Will Hodgman have their way of showing a complete disrespect for the fact that parks and World Heritage Areas are set up to look after nature and they are there to degrade nature," she said.

Ms Milne argued that after the Abbott and Hodgman Governments attempted to log World Heritage forests they lack credibility when it comes to overseeing responsible development.

"I have zero trust in Tony Abbott or Will Hodgman to do anything sensitive when it comes to Tasmanian wilderness World Heritage Areas," she said.

"It's all about a quick buck. How can you get a quick buck and it doesn't matter if it destroys it into the long term?

"Once you start slapping in roads, once you start building resorts you are in real trouble in World Heritage Areas."

Business investment is basically not welcomed: Dick Smith

But entrepreneur Dick Smith said the pendulum has swung too far against development in Tasmania.

He had an eco-lodge proposal on private land knocked back seven years ago and tells his business contacts not to invest in the state.

"It's a very frustrating place to try and invest and business investment is basically not welcomed," he said.

"I go to New Zealand and they allow quite a lot of commercial activities in their national parks but it's very well done.

"You don't think it damages the park and I think that's how it should be done.

"Tasmania's this wonderful place, most of my friends have never been here and I just can't believe you have economic problems because you don't understand, this is the place for eco-tourism."

The other 36 development proposals will remain confidential while they are assessed by a panel appointed by the State Government.