The comments come after a Department of Conservation (Doc) tender document became public, which suggested a range of ways to address tourism issues in the area.
Among them was a proposed permit system for "an international visitor driving themselves to Milford".
Southland district councillor Sarah Greaney, of Fiordland, said the Milford Opportunities Project (MOP) had to look at all the options.
"There were a lot of proposals put forward.
"While such a levy system would be new to New Zealand, it doesn’t completely set a precedent. They have similar systems overseas.
"Sometimes we need to look overseas for our solutions."
There was also the Te Anau Basin development plan in the works, which would also look at various ways to respond to tourism in the greater area, she said.
"None of these options or opportunities were going to happen overnight.
"It’s all about setting ourselves up for the future."
Great South general manager for tourism Mark Frood said he was not surprised "some form of user-pays" had been floated.
"I’m sure they’ve done the work on the permit system to suggest it’s achievable.
"Going into Milford mid-morning and mid-afternoon, you get a peak of traffic flow.
"We need to spread the load of capacity in a way that everyone can enjoy one of New Zealand’s taonga."
Great South wanted people to "travel slowly" throughout the region and "spread out", he said.
"That road has challenges throughout the year, we support anything that will help alleviate congestion and ensure road safety.
"That feeling of being crowded in such a beautiful environment is something we want to avoid."
Alleviating this feeling could be done by including park-and-ride options at the Fiordland National Park, or extended stays in the greater area such as Te Anau, he said.
"It’s not about having more tourism or less tourism — it’s about our operators being able to cope with capacity.
"We don’t want people passing through townships on the edge of a Unesco world heritage area and not getting the chance to experience that."
The tender document also proposed a free permit system for New Zealand residents who regularly visited Milford outside peak hours.
But Te Anau RaD car hire manager Garry McCorkindale said any permit system would be a "nightmare" to police.
"When we had Covid and didn’t have any tourists on the road, we still had accidents, so it’s not about the tourists.
"We would have to add a checkpoint somewhere, and staff it somehow. The whole thing sounds crazy to me."
The MOP reiterated it was "only a proposal" at this stage and decisions would be made after the business case was presented to the government on June 30.
