The stadium is part of Australia and New Zealand's joint-bid for the tournament, which is one of the world's most-watched sporting events.

An oval venue was transformed into rectangular for the 2015 World Cup in Canada, but all stadiums used for other men's and women's World Cups stretching back several decades have been rectangular.

Football Tasmania chief executive officer Matt Bulkeley said Football Federation Australia would offer a suite of venues for consideration as part of the bid and, if successful, FIFA would determine which venues were used and what temporary upgrades would be needed.

"The venues that we have at the moment, we can make them work," he said.

"If Australia is successful, there would be a lot of work to be done and more detail around the use of stadiums, training sites and base camps.

"There are FIFA specifications which are actually quite substantial."

FIFA has regularly demonstrated its preference for rectangular venues in awarding major tournaments.

While praising the state government for backing the World Cup bid, Federal Clark MHR Andrew Wilkie said Tasmania could have attracted an A-League club had the government been prepared to help fund a rectangular stadium in Hobart.

"Regrettably the bid is undermined by the lack of a world-class rectangular stadium in the state," he said.

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"This would have been avoided if the government had shown some vision and backed the push for a Tasmanian A-League team by the cashed up proponents."

Perth and Sydney have recently seen significant upgrades of NIB Stadium and Bankwest Stadium respectively, while a purpose-built soccer stadium is being constructed in Melbourne's west.

Premier Will Hodgman said the FFA's decision to select UTAS Stadium as a possible venue showed it was an appropriate option.

"Football Federation Australia completed an analysis of possible stadium options in Tasmania using FIFA criteria and recommended the University of Tasmania Stadium as the appropriate venue for the matches," he said.

Mr Hodgman said infrastructure was not the deciding issue in Tasmania missing out on an A-League team last year.

UTAS Stadium was preferred to Blundstone Arena due to its lack of a permanent cricket pitch.

FIFA will publish evaluation reports in April and a 37 board members will decide on the winning bid in 2020. The Australia-New Zealand is one of six vying for the tournament, with Colombia and Japan considered the frontrunners.