The Cheshire-set teen show, which will have its 20th anniversary in 2015, is now the only major British soap opera which hasn't screened a special live edition.
Sutton told What's on TV: "I don't know how a live episode would work here, but I think it'd be exciting. I'd be well up for a live episode.
"It's just like theatre but a lot more people are watching it and hoping that you screw it up!"
The actor continued: "We need to campaign for a live episode."
"I watched the live Emmerdale episode and I thought it was incredible. I watched it and thought, 'I wish I'd been involved in that'.
The 29-year-old starred as Ryan Lamb in the village serial for two years between 2009 and 2011.
Coronation Street has screened live episodes in 2000 and 2010 for its respective 40th and 50th anniversaries, while EastEnders also marked its 25th birthday with a live special in 2010.
Digital Spy exclusively revealed back in October that the soap star would reprise his famous Hollyoaks role as John Paul, who he originally played between 2006 and 2008.
> Read Digital Spy's recent interview with Hollyoaks star James Sutton here
> Hollyoaks James Sutton reveals "dark direction" ahead for John Paul
> James Sutton nervous over return: 'You'd hate to mess it up'