The current vision is for a multisport facility with four indoor courts on sprung timber floor and a seating capacity of up to 1500.

The stadium would include a show court and an indoor area of 1000 square metres for various sports and support facilities.

These broad parameters were recommended by the Indoor Sports Planning Study and are set to be endorsed by Burnie City Council at their meeting on Tuesday.

The council will also decide whether to spend $12,000 so the author of the study, @Leisure Planning, can continue developing the project.

Burnie Indoor Sports Stadium Working Group chair David Pease said the planning study "backed up what we suspected": that there was a clear demand for more facilities and the current stadium at Upper Burnie was no longer suitable.

"It was reassuring to get to this position because at least now we know we probably don't want to be putting more money into the old centre at this stage because it isn't going to be suitable for our future needs," he said.

The current stadium at Upper Burnie does not comply with the safely standards of Basketball Australia and the floor condition is poor and causing cracks.

The overwhelming majority of clubs and organisations surveyed for the planning study were also unsatisfied with the current facilities.

The study stated this was "either due to poor conditions of the facilities, insufficient size of the facilities, overcrowding (too much demand for a small number of facilities available) and most clubs said the centre is booked out by basketball and badminton".

"Otherwise, clubs said that the existing facility was unsuitable for competition play," the study said.

The new stadium is expected to cost around $20 million and would require funding from the state and federal government.

Cr Pease said that was "going to be a tough one in the COVID environment".

But he believed the planning study laid out a "case for funding" and the project would be "reasonably high in both federal and state priority lists".

Burnie City Council has yet to determine a location for the new stadium as the existing property at Upper Burnie would have several drawbacks.

The proposed facility would likely take up most of the existing car park and some of the grass playing field. But the new stadium, wherever it is, would have an added benefit for Burnie as it would likely boost participation and attract players and programs from other municipalities.