PM - Howard considering nuclear feasibility study

MARK COLVIN: The Prime Minister is considering a feasibility study on a home-grown nuclear power industry.

It's expected he'll make a decision after he returns from his overseas trip.

The Resources Minister Ian Macfarlane sent a letter to Mr Howard last year asking for an investigation and suggesting the Australian Academy of Science oversee it.

Mr Howard said at the weekend that there should be a "full-blooded debate" about nuclear power.

The Business Council for Sustainable Energy has welcomed the comments, but says the debate should include discussion about renewable energy, as Australia's only just scratching the surface of its potential.

Sabra Lane reports.

SABRA LANE: The Federal Parliament's already looking at how Australia can expand its uranium industry.

The Standing Committee on Industry and Resources travelled around the country last year, taking more than 80 submissions on how the nation could further capitalise on its vast uranium reserves.

Committee Chairman, West Australian Liberal Geoff Prosser says it's now writing a draft report.

GEOFF PROSSER: I'm sure that one of the recommendations that we - my committee - will make will be to look at what we can do to, I guess, regain extra nuclear physicists in Australia.

And while nuclear power in Australia right now is not economically viable, it may well be in the future. And if we're going to play a major role in the nuclear fuel cycle we should I guess get our expertise in the whole nuclear power generation up to speed.

SABRA LANE: The committee's terms of reference are very specific: examining the country's deposits, potential export opportunities, the regulations governing the industry and how it may impact on greenhouse gas emissions.

But the committee wanted to do more. It wrote to Resources Minister Ian Macfarlane, asking him to broaden the committee's terms of reference to include an examination of a home-grown nuclear industry.

GEOFF PROSSER: But the minister declined that request at this particular stage.

Now given that, to even start a nuclear power plant generating electricity, it would basically take 10 to 15 years, and we need to do a lot of things in the future.

SABRA LANE: While Mr Macfarlane knocked back that request, he's since written to the Prime Minister asking for feasibility study into a home-grown nuclear industry.

It's understood the terms of reference are being worked out.

Geoff Prosser says the debate is worth having, saying there needs to be a discussion about the risks and benefits.

GEOFF PROSSER: Power generation is about a mix. And if we have an informed discussion about the entire industry, I think that the small amount of waste in comparison can be put into perspective.

We were at the forefront of nuclear technology in the '50s and '60s, and basically closed our programs and dropped the ball.

We've got to get away from just being a country that digs the stuff out of the ground and flogs it off for other people to get the real high-tech jobs and high-tech, I guess, and high income from it.

SABRA LANE: The Business Council for Sustainable Energy welcomes a full-blooded debate, but says it should include a discussion about renewable energy resources, as the Government's most recent energy paper, published just two years ago, is now irrelevant.

The council's Executive Director is Ric Brazzale.

RIC BRAZZALE: The energy white paper that was released in 2004 is now out of date.

It was too narrow and it didn't include a mechanism to encourage private sector investment and deployment in clean energy technologies, whether it's nuclear or any other technology for that matter.

SABRA LANE: And he says despite the current publicity surrounding Victoria's failed wind farm, he believes 20 per cent of the nation's power needs could be met by wind farms alone.

RIC BRAZZALE: We have a fantastic solar resource, very sunny country. Some states like Queensland and the Northern Territory utilise solar extensively. Again, no reason why we can't have that much more extensive right throughout Australia.

Then we have natural gas; we have geothermal resources.

There's enormous potential to produce renewable power from Australia's agricultural industry, and we've barely scratched the surface.

So there's lots, lots more we can do, lots more we should be doing before we even consider nuclear.

MARK COLVIN: The Business Council for Sustainable Energy's Ric Brazzale