NSW is one step closer to implementing a container deposit scheme, a targeted approach to the 160 million beverage containers littered in communities across the state every year.

Environment Minister Mark Speakman has invited the public to have their say on the NSW government's container deposit scheme discussion paper , to decide how a potential scheme would operate in the future.

"The premier has made it his priority to reduce the volume of litter by 40 per cent by 2020," Mr Speakman said, adding that "an efficient and cost-effective deposit scheme" would help NSW reach this goal.

"I'm pleased we've got to this point. We're one step closer to delivering a scheme and we're on track to fulfil the election promise of doing that by July 1, 2017."