The Federal Government has tasked the Productivity Commission with investigating how other countries are implementing a carbon price.

The move comes as the oeCD has urged Australia to introduce a carbon price soon to avoid increased uncertainty in the energy sector.

Climate Change Minister Greg Combet says it is necessary for the Government to have more information about how the rest of the world is dealing with reducing carbon pollution.

"I think it's important in the context of putting a price tag on carbon pollution in our own economy that we have the best, most rigorous information available about effective carbon prices in economies with which we trade," he told Radio National.

"There is a lot of information and evidence around but things are changing very quickly."

The commission has been asked to report on what action countries such as the United States, Germany, Britain, Japan, China and South Korea are taking.

Greens Leader Bob Brown has backed the move.

"It's a necessary means of getting an assessment of the overseas action on a carbon price and, amongst other things, to make sure we don't over compensate to industries in Australia," he told Radio National.

The commission will report to the Government by May next year.

The Government is open to the idea of using either a carbon tax or an emissions trading scheme, with the newly-formed multi-party climate change committee considering all options.

The Opposition is against putting a price on carbon and wants to use a range of direct action measures to reduce pollution.

The idea of having the Productivity Commission investigate how other countries are dealing with the issue was raised by independent MP Tony Windsor in the lead-up to Labor forming minority government.