The information and communications technology division is relocating from Salamanca Square in Hobart to smaller office space at 22 Elizabeth Street and 134 Macquarie Street.

However, before the move happens the department needs to outfit the new rental spaces and install workstations.

A government spokesman said the move would end up saving the state considerable cash.

``The tenders advertised today are specifically for office alterations at Elizabeth Street and for the supply of workstations at both locations. The cost of the Elizabeth Street works will be largely covered by the property owner,'' the spokesman said.

``The relocation will result in recurrent savings of about $800,000 a year (and) by having more staff in a reduced floor area we expect to see energy savings, and will also reduce our carbon footprint in line with the Tasmanian government's emission reduction program.''

The internal fitout will include new conference room facilities, reception area, kitchen and staff area, utility room, general offices and meeting rooms, and associated building works.