Liberals leader Barry O'Farrell revealed yesterday he would take a package of energy measures to the next election along with a still-to-be revealed power privatisation policy.

The strategy is clearly aimed at addressing concern the Opposition is playing little more than a blocking role in the power debate.

"Energy policy shouldn't only be about how we make energy. It should also be about how we use it," Mr O'Farrell told The Sun-Herald .

"An integrated policy from government should be about encouraging and fostering smarter and sustainable low-energy lifestyle choices by households. We need to create incentives for people to reduce their energy footprints."

Mr O'Farrell said while whitegoods such as refrigerators and dishwashers were sold with detailed energy-use labels, the same attention needed to be given to popular home electronic devices such as flatscreen televisions, video game consoles and personal computers.

"People are worried about climate change," he said. "They see all these big issues discussed and they want practical solutions."

The O'Farrell package would promote the use of smart meters to give households up-to-date and precise information on their power usage.

Incentives would encourage households and business to use solar and other energy-saving devices and to better insulate their properties.

"We need government to take leadership by making low-energy light bulbs and timers mandatory in government buildings," he said. "NSW agencies have blown their greenhouse gas reduction targets and they have now stopped reporting their progress."

A controversial measure at a time of slumping state revenue is to give tax breaks - primarily through payroll tax deductions - to companies using "cutting-edge" approaches to cutting energy use.

"We will go to the next election with a policy that has two strands - one looking at supply and the other focusing on demand with incentives and rewards for good behaviour."

Mr O'Farrell said the Opposition was still waiting to see details of the Government's "fallback" power plan which involves selling the state-owned electricity retailers while leaving the generators in public hands.

  POWER PLAN ■ Energy labels for TVs, game consoles and computers

■ Smart meters to provide household with detailed information on power use

■ Financial incentives for insulation and other energy conservation devices

■ Mandatory use of low-energy bulbs and timers in government buildings

■ Training and education for business

■ Payroll tax deductions for cutting-edge companies