It would also make it easier for younger voters, he said.
"However, there are risks associated with its use relating to security, accuracy and availability of technology used for online voting.
"Territorial authorities trialling online voting will be responsible for demonstrating that voting technology solutions can be used in a way that meets the requirements of the Local Authority Electoral Act and security expectations," Mr Dunn's report stated.
Councillor Tania Tapsell said she welcomed the trial as it gave people more options to participate in local government elections and it would not exclude those who preferred the old postal ballot method.
"It will be a more inclusive way to get people voting. There is a generation coming up who are not voting, so hopefully this will help."
Miss Tapsell said she was not concerned about the safety of online voting as modern technology and security services were robust.
"Many Maori trusts are already using online voting and it works very well," she said.
Online voting trial
* Councils must confirm their intention to participate in the online voting trial by September 4
* It will run alongside the current postal voting system during the 2016 election
* The estimated net cost for the online voting trial is $45,000
* The cost of the existing postal voting system is $240,000