PM set to wish a happy nuke year By Nicolette Burke December 29, 2006 12:00am
AUSTRALIA is set to go nuclear, with Prime Minister John Howard today launching the findings of an inquiry strongly recommending its use as a major source of electricity.
The first nuclear power plants could be operating within a decade said the report's author, former Telstra chief Ziggy Switkowski. The inquiry was commissioned six months ago in the face of concern about climate change and the effect of coal-fired power plants on the environment.
The country's demand for electricity is predicted to more than double by 2050.
The report's final instalment, to be launched by Mr Howard in Sydney today, said that to cater for this demand, two-thirds of current power stations would need to be "substantially upgraded or replaced" and new capacity added.
However, Dr Switkowski argues that the nation currently mines double the amount of uranium required to power Australia at current rates of consumption.
We could produce enough uranium to serve our own needs, while increasing mining yields to service overseas markets, he said.
In 2005, uranium oxide exports earned $573 million, with a record 12,000 tonnes - more than twice the current demand in Australia.
Exports by 2014 are expected to reach more than 20,000 tonnes.
Australia does not have the capability to enrich its own uranium for power generation.
The plan has its critics within the Government.
Finance Minister Nick Minchin has said it would be "crazy" to throw away the natural advantage Australia has with coal power, while Treasurer Peter Costello has said nuclear power is not viable in Australia at the moment.
Nuclear power would cost 20 to 50 per cent more than coal-based.
Dr Switkowski has argued that nuclear power could be subsidised by carbon taxes on so-called "dirty" power industries.
However, Mr Costello has said any nuclear industry would have to stand on its own, without subsidy.
Opposition leader Kevin Rudd has vowed to overturn the Labor party's "three mines policy" ban on new uranium mines, which would open up the potential for further exports. He remains opposed to nuclear power.
Critics have argued that the Government's energy taskforce, headed by Dr Switkowski, who is also on the board of the nuclear science organisation ANSTO, was loaded with pro-nuclear members.
New South Wales is a probable frontrunner for the country's first reactors.
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