Malcolm Turnbull says his government is aiming to make a decision on whether to adopt a clean energy target by the end of the year.
The prime minister said the government was "carefully considering" the recommendation by chief scientist Alan Finkel as a way to ensure affordable, reliable and cleaner power.
"We're certainly aiming to (make a decision by the end of the year)," Mr Turnbull told ABC's 7.30 program on Monday night.
Energy company bosses argue they need long-term policy certainty to invest in new power generation and bring down electricity bills - and the key to unlocking that was to roll out a national clean energy target.
The government is awaiting a report from the Australian Energy Market Operator, which Mr Turnbull labelled "a critical thing".
"First, we need to be satisfied as to what the gap in baseload power is going to be over the next five and 10 years," he said.
