VICTORIA'S Labor government and its Liberal opponents have become unlikely bedfellows to fight off any moves to build a nuclear reactor in the state.

Both sides of politics went on the offensive as the Federal Government was finalising details of an inquiry into nuclear power to be headed by former Telstra boss Ziggy Switkowski.

"We are concerned that the Commonwealth may seek to get around this legislation and seek to have nuclear power facilities on Commonwealth land in Victoria," he said.

Mr Thwaites and state Energy Minister Theo Theophanous accused Prime Minister John Howard of using the nuclear debate to mask his inaction on renewable energy.

"He's prepared to go down the path of a furphy to divert attention from the real problem which is that he has nobbled renewable energy in this country."

Both ministers were forced to defend accusations they were themselves mounting a scare campaign about Canberra's nuclear intentions, as a distraction from the state's heavily polluting brown coal power industry.

Meanwhile, state Opposition energy spokesman Phil Davis said the Liberals were opposed to nuclear power in the state purely on commercial grounds.

The state economy was dependent on its powerful manufacturing sector which in turn relied on low-cost electricity generated by cheap and abundant brown coal, Mr Davis said.

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