A core zone within Canberra's city centre would have higher noise limits to encourage more live music and events under a plan being considered by the ACT government.
But noise limits would be lower around the core of the city's entertainment precinct to provide a buffer for residents under the proposal, which is set to be released for public consultation over the summer period.
The core zone could centre on Garema Place, Bunda Street and the Sydney Building.
Noise limits up to 75 A-weighted decibels are also being considered for the core area, which is 15 dB(A) higher than current limits, with a potential later noise cut-off time.
Business and Better Regulation Minister Tara Cheyne said the government would release a discussion paper about noise settings for entertainment precincts in the coming days.
"Entertainment precincts have now been legislated in our territory plan; they're operational," Ms Cheyne said.
"We have to get our settings right in our entertainment precincts and that includes the noise settings, and how we respond to interactions with noise from both residents and businesses, and how complaints are handled."
Ms Cheyne said the government would propose a core and frame model, where the core permits louder noise uses for longer.
"The frame is also in the entertainment precinct, obviously. So we would expect that it would have louder [limits] as well, but perhaps not as loud as the core," she said.
"And it would also provide a buffer for the residents that do fall out of the frame but live quite close to it."
No final decision has been taken on the noise rules that would apply in the city.
The city centre entertainment precinct covers an area bordered by Cooyong Street, Akuna Street and Northbourne Avenue, with the Melbourne Building and the buildings at Constitution Place also included.
A design guide for the area says the area will support entertainment uses in "a thriving, lively and inclusive precinct and night time economy".
"All noise emitting and receiving development must demonstrate how low frequency noise associated with live entertainment and amplified music has been considered and applied in building design, siting and materials," the guide says.
New music venues must be designed to meet noise insulation standards, rooms facing outdoor entertainment venues will be discouraged, and common walls between venues and residential buildings is discouraged.
Noise up to 60 dB(A) is currently allowed in the entertainment precinct from 7am until 10pm, Monday to Thursday, and to 12am on Friday and Saturday. The limit applies from 8am to 10pm on Sundays and public holidays. A 50 dB(A) noise limit applies at all other times.
A washing machine is about 50 dB(A), a vacuum cleaner is 60 dB(A) and a lawn mower is about 70 dB(A), the government has said.
Different noise level options will be presented for consultation in the discussion paper, with the most permissive similar to rules in Brisbane's Fortitude Valley and another option closer to the slightly quieter Enmore Road entertainment precinct in Sydney's inner west.
Music ACT president David Caffery said noise limits needed to be quite high for Canberra to be competitive.
"Sound doesn't stop on an invisible line ... so it needs a long buffer area. And I think the core-and-frame model is a really clever way of dealing with that," Mr Caffery said.
"We can't just have business as usual because business as usual in the music industry in Canberra has been difficult. Music should be able to live in the city."
Consultants in April recommended the government consider planning rules to make sure buildings in a city centre entertainment precinct could be retrofitted to support noisy uses and warned noise limits for outdoor concerts were also likely too low.
The report, prepared by Arup, said guidance on how developments should future proof for noisy uses outlined in the Crown lease was "critical if developments are to ensure they can support live entertainment".
Arup also advised the government more prescriptive land use controls were required to ensure entertainment uses were located within the entertainment precinct.
"The permissibility of noise sensitive uses, such as residential, in commercial zones will impact feasibility and may compromise prioritising entertainment uses," the study said.
The study considered the same area which has since been legislated as the territory's first entertainment precinct.
There is no universally accepted definition of an entertainment precinct, but the study noted the area would support live music, bars, clubs, cinemas, restaurants and cultural festivals.
Ms Cheyne on Wednesday announced changes to liquor licensing designed to encourage more night-time trading in the ACT, including 2am licence extensions for small restaurants and cafes and licence fee discounts for venues supporting live music and the arts.