Clean energy lobbies have written on behalf of the industry to the Federal Government, hoping to clear an impasse in renewable energy target (RET) talks.

Last week, the Government rejected the Clean Energy Council’s deal on a new reduction to the amount of renewable energy Australia is obliged to generate under the RET.

Now, peak business associations including the Business Council of Australia, Clean Energy Council (CEC) and Energy Users Association of Australia have come together in an attempt to show how important reaching a deal would be.

“While the sector is not prepared to accept the Government's previous proposal to cut the 2020 RET target to 32,000 gigawatt hours (GWh) due to the impact it would have on the sector, we are prepared to accept a reduction of the target to 33,500 GWh,” Clean Energy Council chief executive Kane Thornton wrote in a letter to the Prime Minister.

“The uncertainty of this unresolved review is having a material and detrimental impact on the renewable energy sector, energy users, the traditional energy sector and the broader business community.”

One of the biggest victims of the inaction would have been the energy-intensive aluminium industry, which was facing bills of between $50 million and $80 million in RET liabilities if nothing happened by March 31.

But the aluminium industry has managed to gain exemption from the scheme, if an agreement can be reached.

The target will still be for 20 per cent of Australia's energy mix to come from renewable sources by 2020, but debate remains over what ’20 per cent’ will mean in real terms.

The renewable industry’s open letter was signed by the Australian Aluminium Council, Cement Industry Federation and Tasmanian Minerals and Energy Council.

The current target was legislated at 41,000 gigawatt hours, but Federal Industry Minister Ian Macfarlane has told reporters that he is “not considering anything over 32,000 gigawatt hours”.