The federal government is repeating its warning for businesses not to blame price rises on the carbon tax.

News Limited papers reported on Monday that the cost of hiring mini skip bins had increased by at least $100, or 25 per cent, since the carbon tax came into effect on July 1.

The price rises were blamed on the carbon price and a new NSW state government waste charge.

But the Gillard government says NSW tax increases has had a far greater impact on the rising cost of waste disposal than the carbon tax.

The state government waste levy has gone up abound 15 per cent in metropolitan Sydney.

"This rise is completely unrelated to the carbon price, but also began on 1 July 2012," Climate Change Minister Greg Combet said in a statement on Monday.

"By contrast, the impact of the carbon price on domestic waste collection is as little as 13 cents per week if best practice methods are adopted."

He warned businesses not to mislead customers by blaming the price rises on the carbon tax.

"If businesses make false carbon price claims, they run the risk of breaching the Competition and Consumer Act and could be subject to a $1.1 million fine for misleading consumers."

The coalition's climate action spokesman Greg Hunt said the report showed small businesses and families were paying the carbon tax, rather than the big polluters.

"This is a major blow for people wanting to clean up the backyard, renovating or building a house," he said in a statement.

This could lead to more illegal dumping.

"While the federal government is trying to address on environmental issue, it's creating another one."

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