Operating trackless trams to Sydney's south-east is under consideration to help ease growing pressure on the transport network to service a booming population at the Green Square precinct.

The state government has had discussions with the City of Sydney about running trackless trams to Green Square, which will become Australia's most densely populated precinct within a decade.

Transport Minister Andrew Constance said he was open to considering trackless trams because the council had designed new streets wide enough to cater for such a transport solution.

A battery-powered trackless tram in operation in the Chinese city of Zhuzhou. Credit:CRRC Zhuzhou Institute, Peter Newman.

"We should absolutely have a look at it. What we are seeing around the world now is this type of trialling of a longer, separated vehicle from the rest of the traffic with its own dedicated tram stops," he said. "Why wouldn't we explore it? It's a no-brainer."