For bringing down the smoking rate, the doctors are pushing for bringing a new reformed state tax on tobacco.

The Victorian branch of the Australian Medical Association (AMA) has proposed to raise the price of cigarette packet by a 'tobacco transaction levy’. This would increase the cost of cigarette to 30 cents by July, 2012, which currently is 10 cents.

As per a survey conducted by Dr Harry Hemley, the president of AMA, three quarters of smoker, would quit smoking if there is a price rise in cigarettes.

"That's why we're encouraging the state Government to introduce the tobacco transaction levy, which would give the Victorian State Government an extra $3 billion a year just in Victoria alone, which would allow us to fund a lot of the shortfall in our public hospital expenditure", Dr Hemley said.

The Government is, reportedly, all set to debate on the issue and review the proposal. But the Victorian Government does not seem to be too happy with the Federal authorities. "The federal government has failed to implement substantial tobacco increases. It is now time for the Victorian government to take matters into its own hands and introduce a tobacco transaction levy”, said Dr. Hemley.