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Uranium central to exports future: minister

Resources Minister Martin Ferguson says uranium will remain central to Australian indutry, despite heightened concerns fiollowing the Fukushima disaster.

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Source: AAP


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Federal Resources Minister Martin Ferguson says the uranium industry remains central to Australia's future, despite efforts by the Greens to demonise it since the Fukushima nuclear accident.

Speaking at an international uranium conference in Perth, Mr Ferguson conceded the Japanese earthquake and tsunami had raised serious questions about the safety of nuclear energy.

But he said the meltdown of reactor cores at the Fukushima nuclear power plant in March would lead to greater safety standards for nuclear power plants

"What Fukushima will not do is change the fundamental drivers, the increasing population and increasing demand for energy that are behind the desire by some nations for more nuclear power," Mr Ferguson said.

"Accordingly, demand for uranium to fuel those reactors will continue."

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Mr Ferguson said he was confident the recent expansion in uranium mining would continue in the wake of Fukushima, with much of the activity happening in Western Australia.

With the final investment decision expected next year on the expansion of South Australia's Olympic Dam and the opening up of the Woomera Prohibited Area, Australia would be central to the growth of the international uranium industry.

"Majority of Australians now accept we should export uranium and support for that has grown," he told the AusIMM International Uranium Conference.

"Despite the endeavours of the Greens and NGOs to demonise the nuclear industry post Fukushima, it hasn't taken off."

The federal government is currently in talks with the United Arab Emirates on a bilateral nuclear safeguards agreement which could provide a new market for Australia's uranium.

"The UAE is committed to the development of four new reactors and they are looking to Australia as a source for that uranium," Mr Ferguson said.

On Thursday the head of the Australian Uranium Association Michael Angwin said the country should be paving the way to have its first electricity-generating nuclear reactor ready by 2022.

Mr Ferguson said the government currently is looking at every clean energy option other than nuclear as an alternative source for Australia's baseload electricity supply.

"Our objective at the moment is to focus on all alternative, clean energy options but if we fail on that front, at a point in the future there will be a more intensive nuclear debate," he said.

If Australia did eventually choose nuclear energy as a baseload power source, then Mr Ferguson said it would be privately owned as "the days of government investing its scarce resources into electricity generation are over".

Outside the conference, the minister criticised the Greens for being opposed to nuclear energy, coal fired power stations, liquefied natural gas exports, aluminium smelters and both the coal seam methane and timber industries.

"I actually wonder now what they actually support from an economic and jobs perspective?" Mr Ferguson told reporters.


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