Simple "safety stops" at the corners of King, William and Queen streets will go under a plan Yarra Trams has put to the City Of Melbourne, to be replaced by a platform stop just between William Street and Market Street.

The two stops that will be permanently lost at the corners of King and Queen streets are used by 10,000 passengers each weekday on average.

Collins Street will narrow from two lanes to one westbound to fit in the super-stop, although the City of Melbourne predicts the increase in delay for motorists queuing at the lights will be negligible, at just two or three seconds.

Yarra Trams will fund the new stop, which it says will "provide significant benefit to tram operations and safety" as well as completing the program to make every stop on Collins Street compliant with the Disability Discrimination Act.

But Tony Morton, president of the Public Transport Users Association, said removing two existing tram stops was "an attack on accessibility" for people who live or work near those stops.

"King Street will become a public transport desert in the middle of the city and thousands of people work on King Street," Dr Morton said.

Trams can spend up to two minutes sitting at the traffic lights at King Street between phases, he said.

"Visitors are going to be perplexed, especially when the trams come to a halt for minutes at a time at the King Street lights and they can't get off."

The plan is detailed in a report published by Melbourne City Council on Thursday.

The Committee for Economic Development of Australia has an office opposite the planned new stop and has objected to the "ill-conceived proposal" because it will also force the partial closure of Gurners Lane, an access lane off Collins Street.

Super-stops have been found to improve tram travel times because it takes passengers about two-thirds as long to get on and off the tram, a recent Monash University study found.

Melbourne's trams have an average speed of 16km/h, which compares poorly with the European standard of about 22km/h.