Power prices will soar if energy policy doesn't change, Frydenberg warns

Energy minister delivers warning to party conservatives and resources sector ahead of Finkel review, which is expected to recommend implementing a low emissions target

The energy minister, Josh Frydenberg, has warned internal and external critics that the Turnbull government's policy has to change, because doing nothing will drive up power prices - as Australia's resources sector fired the first public warning shot against a new low emissions target.

With the Finkel review expected on Friday to recommend the Turnbull government consider implementing a low emissions target (LET) to deliver a concrete signal to the market to drive new investment in power generation, Frydenberg on Monday delivered a blunt public warning that the status quo was not an option.