LONDON - Britain must keep its ageing nuclear power stations running as long as possible if it is to avoid a damaging shortage of power in five to seven years' time, British Energy Chief Executive Bill Coley said on Thursday.
The nuclear power firm is assessing the economics of extending the lives of its Hinkley Point plant in southwest England and Hunterston plant in Scotland, both due to close in 2011.
"What is critically important for the country is to operate all these units as long as we can," Coley told Reuters in an interview.
"When I take the company view of long-term power prices ... prices would support life extensions," he added. "Although it's unlikely we'll come out with 10-year extensions."
Britain is close to deciding whether to back a new generation of nuclear plants, which would boost the global industry as it recovers from the 1986 explosion at Chernobyl.
Carbon-free power is essential to help Britain meet its goal of cutting CO2 emissions 20 percent below 1990 levels by 2020, but some environmentalists say nuclear is still too risky to consider.
"Our company is the single largest contributor in the UK to the reduction of CO2," said Coley, adding that 33.7 million tonnes of CO2 was avoided last year by way of its carbon-free power.
British Energy said in February it was looking for partners to build new nuclear power stations in Britain if given the go ahead. "More than 10 entities responded," said Coley, adding talks had reached a second round without any party dropping out.
"The interest was robust -- a lot of megawatts of capacity," he said.
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