Queensland's Transport Department will investigate the possibility of phasing out labels as part of its review of the vehicle registration system.
The directive would follow a move by the Western Australia Government, which announced on the weekend it would stop using the labels in an attempt to save up to $2 million a year on printing and postage costs.
A Transport Department spokeswoman told mX the entire system was being reviewed.
"As part of this review, we will consider the need for vehicle registration labels in light of emerging technology," the spokeswoman said.
"However, there are no immediate plans to do away with vehicle registration labels in Queensland."
WA Premier Colin Barnett said vehicle owners would still be sent accounts to pay registration, but they would no longer be required to display stickers on their cars.
Details are to be registered electronically and police will be able to tap into a new radio network to access individual's registration details.
"The new system gives police instant access to the state's vehicle registration database via computers located in all police vehicles," Barnett said.
"Police also have automatic number plate recognition cameras, similar to the Multanova (speed) cameras, which can record and assess number plates as vehicles pass by."