Federal Labor critical of Coalition's coal study, while not ruling out blocking mines and power plants

The Federal Opposition has accused the Coalition of opening the door to subsidising new coal-fired power stations, as rogue Nationals MP Barnaby Joyce argued cutting carbon emissions was being prioritised ahead of affordable power.

Barnaby Joyce has defended his stance on coal.

The Federal Government announced $6 million would be spent on two feasibility studies for new electricity generation projects, including a coal-fired power plant at Collinsville in north Queensland.

Tensions were high in the Coalition party room on Tuesday between conservative Nationals MPs, who wanted the Government to focus more on coal, and moderate Liberals who believed more needed to be done to tackle climate change.

Fresh from his unsuccessful tilt for the Nationals' leadership, Barnaby Joyce said there are significant government subsidies for renewable energy projects across the country and coal-fired plants should not be discounted.

Read the ABC News storey Matthew Doran - “Federal Labor critical of Coalition's coal study, while not ruling out blocking mines and power plants.”