Tuesday's party room meeting backed the review's recommendations relating to the security and reliability of the power system, consumer prices, the gas market, cyber-readiness of the electricity system and governance – but not the implementation of a post-2020 Clean Energy Target, a proposal that caused a backbench revolt a week ago.

Environment and Energy Minister Josh Frydenberg told the party room further consideration and analysis of a CET would be carried out and that the rest of the Finkel recommendations, which are largely uncontroversial, would be advanced through the Council of Australian Governments energy council.

One MP in the meeting said there had been "basically no discussion today on Finkel", while another joked the report had been "de-Finkeled" and sailed through.

Following the meeting, Prime Minster Malcolm Turnbull announced already flagged restrictions on gas exports, the abolition of the limited merits review appeals mechanism that has forced up power prices and an extra $67.4 million for the Australian Energy Regulator.

Significantly, a review will be undertaken by the Australian Energy Market Operator of the nation's need for new dispatchable, base-load power.

Mr Turnbull said the measures would put immediate downward pressure on power prices, but they are unlikely to stop forecast electricity hikes of around 20 per cent and gas price rises of 17 per cent from July 1. The gas export regulations will be in place from July 1 and come into effect from January 1 next year.

The market operator's review will examine how to replace the loss of about 3600 megawatts of base-load coal-fired power from the Hazelwood plant in Victoria, and from the scheduled 2022 closure of the Liddell plant in NSW, and could recommend support from the federal government to ensure new generation comes online.

It would examine how to avoid new "shocks" to Australia's energy system, Mr Turnbull said, would be technology neutral and could see a reverse auction held to ensure that new base-load power is brought online.

Mr Turnbull said the government would "certainly consider" funding a new coal-fired power station, or signing off on a supply agreement, if that was what the market operator recommended.

The Prime Minister also insisted the government had not abandoned the Clean Energy Target recommended by the Finkel review.

"The federal government is already a shareholder in an electricity company [Snowy Hydro] and seeking to be a larger shareholder and, of course, we are committed to Snowy Hydro 2.0, which is going to add 2000 megawatts of renewable power and storage to the National Electricity Market.," Mr Turnbull said.

"In terms of a building of a new coal-fired power station, that is not something that can be done in a few years, by the way. So that is a long-term commitment. But as you know, I've said in the past that I think that as Australia is the largest sea-borne exporter of coal, it would be good if we had a state-of-the-art clean-coal power station in Australia."

The Minerals Council of Australia lobbied Coalition MPs on Monday for a reverse auction to be held, with a high emissions intensity threshold of 0.75 tonnes of carbon per megawatt hour, so that gas, renewables with battery storage, and HELE (high efficiency, low emissions) coal-fired power could compete to provide new base-load power that is available all the time.

Australia's Chief Scientist, Dr Alan Finkel, said it was conceivable a new coal-fired power plant could be built under his CET, though he would be surprised if the government sought to facilitate this.

Mr Turnbull denied the move introduced sovereign risk for gas producers and that "you can't seriously suggest that we, a nation that is about to become the largest exporter of LNG in the world, would have a shortage of gas in its east coast domestic market."

Mr Frydenberg said consumers had paid an extra $6.5 billion in electricity costs because of the limited merits review process, which allows power suppliers to appeal rulings on the prices they can set, and iwould therefore be abolished.