Several government backbenchers have questioned a review into the government's climate change policies
On Monday the government released its terms of references for the probe, including the consideration of an emissions intensity scheme.
Conservative senator Cory Bernardi has slammed the idea, saying it will cause division.
Deputy Prime Minister Barnaby Joyce says while neither the Liberals nor the Nationals would back a carbon tax, there was the potential for a scheme where power generators could pay for emissions above a particular level.
Liberal MP Craig Kelly has told the ABC their main concern is the cost of electricity.
Kelly, "I think to go into a review and say 'I'm ruling this out, I'm ruling that out, I'm ruling that out', it really limits the review. I think to be fair to the minister, I don't have any objection to that -- but, but, of course the big but is, if this review comes back and has some recommendation that will increase the price of electricity to consumers and industry in this company, that's where a lot of us in the Coalition will not accept that."
Opposition leader Bill Shorten says the prime minister's risking 'civil war' within the Liberal Party by reviewing its climate policy.
Senator Cory Bernardi says any form of emissions trading would be economic suicide.
Prime Minister Malcolm Turnbull has played down concerns it might reopen the damaging debate over a carbon tax and higher power prices, but Mr Shorten says the government's policies are a flip-flop.
Shorten, "We know that the current government has made a mess of tackling real action on climate change. Labor has made it clear that we won't be supporting a carbon tax. It's not our policy. But we do recognise that you've got to have fair dinkum policies on climate change."
It comes as the latest polls put Labor ahead of the coalition 52-48 in two-party terms, while Mr Turnbull's standing as better prime minister has dropped two points to 41 per
cent.
