The Commons trade and industry committee will today warn the government that plans to encourage the use of renewable energy will lead to higher charges to consumers and businesses.

The government's energy review, likely to be announced next week, is widely expected to recommend a target of 20 per cent renewable energy by 2020.

Energy minister Brian Wilson yesterday said the government should keep the option open on building new nuclear power plants.

"There's no contradiction between being pro-renewable and pro-nuclear," he said.