Germany to keep reactors going

Canberra Times
Tuesday 7/9/2010 Page: 7

Germany is to extend the life of its nuclear reactors by 12 years on average after marathon talks on the controversial issue that will shape the energy policy of Europe's top economy. The decision yesterday followed 12 hours of talks between senior politicians. It means some of the country's 17 nuclear plants will now be operational until the 2030s. Environment Minister Norbert Roettgen said the lives of older plants will be extended by eight years and those of newer ones by 14 years. Nuclear utilities would have to pay part of their extra profits boosted by the extension to develop renewable energy.

Chancellor Angela Merkel's predecessor Gerhard Schroeder had decided to mothball the reactors by about 2020. But Ms Merkel wanted to postpone the shutdown as part of a new "energy concept" for cabinet consideration on September 28. Economy Minister Rainer Bruederle said, "We have together found a way to take Germany forward". But Greenpeace, other environmental groups and Germany's Green Party criticised the decision. Greenpeace accused the Chancellor of yielding to the powerful nuclear power lobby, a charge echoed by an increasingly confident opposition.

And Austria's Environment Minister Niki Berlakovich termed it a "hard blow for the... development of renewable energy. "The future of energy supplies lies indisputably in renewable energy", he said. "In any case, nuclear power will not answer the problems related to climate or be a solution to reducing carbon emissions". Ms Merkel called the extension a "bridge" until renewable sources of energy such as wind and solar power could produce more of Germany's power as it sought to reduce dependence on coal.

A debate has raged in the country and in government over how long to extend the life of the reactors and what price to exact from the energy industry, which stands to benefit from the move. Support for Ms Merkel's coalition has tumbled in recent opinion polls and surveys suggested most Germans opposed the idea of postponing the date that the country goes nuclear-free. The Chancellor, a former environment minister, earlier hinted she preferred an extension of 10-15 years, calling it "technically reasonable"

But not everyone in her squabbling coalition agreed. A government-commissioned report last month ended inconclusively, but did outline how high were the stakes. It said without nuclear power Germany could forget about its target of reducing CO2 emissions by 80% in 2050 from 1990 levels. Another item in the mix is the debate over how to make energy companies such as RATE. Vattenfall and E.ON pay for the extension of their plants and ensure a greater contribution to Germany's energy output from renewable sources.

As part of an 80 billion euros ($A112.5 billion) austerity program for the period 2011 to 2014, the Government wanted to tap energy Runs in exchange for keeping their plants open longer. But the utility companies are putting all their considerable lobbying powers into resisting such a levy and the nuclear tax was not in the austerity package the cabinet approved on Wednesday. Ms Merkel has a tricky challenge on her hands, as she needs to ensure any draft law would not be subject to approval in the Bundesrat upper house, where she lost her majority earlier this year.