Spain to keep old nuclear plant going for two more years (1st Lead)

Madrid - Spain was Thursday expected to allow the country's oldest nuclear power plant to operate until 2013, in a compromise solution that angered both environmentalists and the pro-nuclear lobby. The Garona plant near Burgos will be closed on April 1, 2013, sources of the governing Socialist Party said. That would be two years later than demanded by environmentalists, but considerably earlier than had been recommended by the nuclear security watchdog CNS, which said Garona should continue functioning for another decade. The government was due announce its decision officially in the early evening. The 466 megawatt Garona plant had become a symbol for environmentalists opposing nuclear power. Defenders of the plant, however, argued that Spain needed nuclear power in addition to the rapidly growing renewable energies. Prime Minister Jose Luis Rodriguez Zapatero's government earlier announced plans to phase out nuclear plants as their life spans expired, and the original 40-year life span that Garona was designed for ends in 2011. The nuclear security watchdog CSN recommended that Garona continue operating for another decade, on the condition that it is modernized and its security is upgraded. That is estimated to cost the operating companies Iberdrola and Endesa at least 50 million euros (70 million dollars), an investment they are willing to make. Zapatero said the government had taken a 'reasonable and balanced' decision that would come under criticism from several quarters. The government had taken into account its electoral promises, Spain's energy needs and the economy of the Garona area, the premier explained. Garona only produced about 1 per cent of Spain's energy, had ageing technology, and produced 50 per cent more high-activity waste than other Spanish nuclear plants, Zapatero said. There were hardly any nuclear plants older than Garona functioning in the world, he observed. The Socialist Party would honour its electoral pledges of closing nuclear plants, as long as that did not cause problems to energy supplies, Zapatero said. The environmental group Greenpeace has announced legal action if the government does not close Garona. AMAC, an association representing municipalities with nuclear plants, also announced a court case over the economic damage caused by the government's expected decision. The Garona plant employs 800 people. Spain's six nuclear plants contribute about 20 per cent of the country's electricity needs.