The solar review will be carried out by the Victorian Competition and Efficiency Commission (VCEC), and the government says it will help develop future ''fair and cost-effective arrangements'' in light of the federal carbon price scheme.

The review of solar feed-in-tariffs - expected to be ordered today - was first promised by the Coalition during the 2010 election. But a spokeswoman for Treasurer Kim Wells said reports into manufacturing and the state reform agenda had needed to be completed first.

Last year the state government replaced the premium solar feed-in-tariff of 60¢ per kilowatt of power fed into the grid, with an interim price of 25¢.

As part of the inquiry, Mr Wells has asked the commission to ''provide a recommendation as to whether existing feed-in tariff arrangements should be continued, phased-out or amended''.

If it recommends dumping tariffs, the government has asked for advice on whether transitional measures were needed. The review's terms of reference say any changes will not be retrospective.

Clean Energy Council policy director Russell Marsh said the solar industry needed to be given assurances the current 25¢ tariff would not end before an allocated two-year period has finished.