Take craft paper of 12 x 12 inches, fold in half and cut. You can use the halves to cover two paper rolls one per roll. Wrap the craft paper around the paper roll to measure and cut off any excess.
Secure the paper around the tube using glue dots. Using a contrasting craft paper, lay your covered roll on the paper to measure the amount needed. Cut enough to wrap around the roll once. This paper will become your "outer paper" and should be more decorative.
Take the outer paper strip that you've just measured to size, and fold in half lengthwise. Cut slits across the fold. Start cutting your slits about an inch from the edge. The more slits you have, the more of the inner roll cover you will see.
Now wrap the outer paper around the covered roll. Pinch the edges towards the middle to make the slits pop out. Staple the outside cover to the toilet paper roll.
Then to make handle for your lantern, measure and cut a length of ribbon of your choice. Use glue dots to attach the ribbon to either side of the lantern at the top. Now your lantern is ready to be hung up!