Prime Minister Malcolm Turnbull has mounted a defence of coal-powered electricity, saying those who think the resource doesn't have a future are "delusional".

Addressing the Liberal National Party state convention in Brisbane, Mr Turnbull hit out at the state Labor government's "reckless" plans to ensure Queensland's energy supply is carbon neutral by 2050 and said Australia had an interest in ensuring the future of coal.

"Those people who say coal and other fossil fuels have no future are delusional and they fly in the face of all of the economic forecasts," he told the crowd of party faithful.

His sentiments were greeted with applause by the crowd, who a day earlier had passed a resolution urging a future state LNP government to promote and support the coal industry.