The scheme would include financial incentives to shopkeepers to lower the price of food products and detergents sold without packaging, and of drinks, shampoos and other liquids sold from dispensers or in reusable containers.
Public transport season tickets would also be offered to those who stop using their cars and scooters.
The bill also outlines a €20 million investment in electric and hybrid school buses, an urban reforestation plan and an environmental campaign in schools.
It was scheduled to be discussed by Prime Minister Giuseppe Conte’s cabinet on Thursday afternoon.
“We have norms that will counteract the climate emergency at 360 degrees,” Sergio Costa, the environment minister, wrote on Facebook.
Conte recently called for urgent action at the UN climate action summit in New York after news emerged that a massive portion of a Mont Blanc glacier was in danger of collapse.
Luigi Di Maio, leader of the ruling Five Star Movement (M5S), said the climate bill represents “a new vision of a green Italy” that would put the country at the forefront in Europe.