The Turnbull government will almost certainly settle on a clean energy target, but one that will classify so-called clean coal as a low-emissions energy source in a bid to win the support of a bitterly divided party room.

Senior Coalition sources said this was now the only realistic option if the government was going to persist with the scheme in an attempt to restore stability and certainty to the energy market, meet the Paris climate change commitments, and not tear the Coalition apart.