The ACT government's traffic light system to rank food options in hospitals and public service buildings has been criticised as flawed and unpopular by vending machine operators.
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The system, which was introduced this year, places food into green, amber or red categories, depending on the nutritional value.
By limiting the availability of food with a high saturated fat content, sugar and salt, the government hopes to reduce the number of people battling obesity and diet-based diseases in the ACT.
However, vending machine operators have slammed the scheme as potentially disastrous for their businesses and of little health benefit to the public.
"Vending machine operators in ACT have already found compliance with this new system either too difficult or not financially viable," said Robert Lamaro, who has been operating machines in the territory for 15 years.
"Adults are capable of making an informed choice of what they can or can't eat, and we have discovered a lot of dissatisfaction within ACT ranks about these restrictions."
Mr Lamaro said he was forced to remove one of his vending machines from the Office of Regulatory Services building when he was required to include rice-based meals.
"People just aren't looking for that as a snack, which is what the machines are there for in the first place," he said.
"The use of the vending machined to enforce rather than encourage employees to eat healthy is impractical."
A Heart Foundation ACT audit showed five of the eight vending machines in Canberra hospitals were considered to be marketing unhealthy products.
The audit also found vending machines used water bottles to create a "halo effect", which gave consumers the impression of healthy options despite featuring sugar-sweetened beverages.
Opposition Leader Jeremy Hanson said the government needed to explain how the system was working and why it should remain.
The latest Chief Health Officer's report shows more than 60 per cent of ACT adults are overweight or obese and about one-quarter of children aged between five and 17 are overweight or obese.
Mr Lamaro said the vending machine industry remained hopeful the government would review the traffic light system and relax the regulations.
