Senate chaos 'govt's own making': Ludlam

The government is "reaping what it deserves" with its new chaotic Senate, the Greens' Scott Ludlam says.

The Senate fell into spectacular confusion on Thursday over the carbon tax repeal, with Palmer United Party senators voting with Labor and the Greens.

PUP leader Clive Palmer, who went to the election saying he would scrap the tax, accused the government of "double-crossing" his party over an amendment to toughen sanctions against businesses that do not pass on price cuts from the abolition.

Senator Ludlam said PUP's proposal was "a legislative nightmare" but the principle was sound.

"It's a legitimate concern as far as I see it - if business is going to get a windfall gain, not just generators but all the way through the supply chain - then it's a reasonable expectation that people should see that money rather than it being absorbed," he told ABC radio on Friday.

"It sounds simple when you say it quickly but how the hell do you legislate for that? How far back through the supply chain should you go?"

The government intends to put the repeal to parliament for a third time on Monday.

Senator Ludlam said the government only had itself to blame because it was trying to push bills through a fledgling Senate.

"It's very unusual, in fact I think it might be unique, throwing a new Senate in through the winter sittings before they've had time to read the bills that are on the notice paper or really get the kind of training or induction that you would hope.

"So the government's reaping what it deserves as far as I'm concerned.

"The chaos is entirely the government's own making."