But voluntary euthanasia advocates believe that it is just a matter of time before Tasmanians with a terminal illness will be granted the right to die.

On Wednesday night the House of Assembly rejected the bill, which was defeated 15 to seven.

The result did not deter Greens leader Nick McKim, who said that he would introduce voluntary euthanasia legislation back into the Parliament if he was re-elected.

Anglican Bishop of Tasmania John Harrower said yesterday that the Parliament should now focus on improving palliative care.

"I think we need to move on and say we've had this debate," Mr Harrower said.

"We've got palliative care - we can direct resources to make that better and work together on this."

Australian Christian Lobby spokesman Nick Overton said that future voluntary euthanasia bills would meet the same fate as the Dying with Dignity Bill.

"(Mr McKim) may try to improve the bill, but research shows that you can never draft legislation with adequate safeguards that don't put at risk vulnerable people."

However, Mr McKim was adamant that law reform would eventually occur.

"I certainly believe that we will see law reform in the area in the near future," Mr McKim said.

He said that the March 20 election would play a key role in the reform.

"I think some of the members who for their own reasons decided to vote against the bill last night would be persuadable, perhaps after an election.

"Also, an election will inevitably turn over some members of the Parliament ... and I'm very hopeful that any new members that are elected actually are prepared to respect the wishes of the community and to ensure that the law protects us while we're dying."

Dying with Dignity Tasmania vice-president Margaret Sing said that the debate put Tasmania one step closer to giving people with a terminal illness the right to die.

"If you look at the forces that are bringing voluntary euthanasia to the fore, they're only going to increase," Ms Sing said.

"We had seven members who spoke so well in favour yesterday and on my count there are another three that expressed that they supported the issue in principle."

Voluntary euthanasia is illegal in all Australian states.

In 1995, the Northern Territory government was the first in the world to legalise voluntary euthanasia.