German industry chief lauds coal and nuclear power

HANOVER, Germany (Reuters) - Germany must pursue novel coal and nuclear energy technologies to secure its future power production and ensure that climate targets can be met more easily, the head of industry association BDI said on Tuesday.

BDI President Juergen Thumann said the two energy sources needed to stay around, if alongside the growing utilization of renewable energy. Coal fuels half of German power generation and nuclear just under a third.

"We must use all technologies, those based on fossil fuels, renewable sources and nuclear energy," said Thumann during the Hanover industry trade fair, which showcases German technology.

"I am aware of the explosive force of such a statement but each one has its own advantages and risks."

Thumann's remarks come amid growing opposition to new coal plants in Germany, Europe's biggest economy, because of their high carbon dioxide emissions (CO2), which harm the climate.

Germany also remains committed to phasing out nuclear energy by 2021 to avoid security risks and waste disposal problems.

Power company Vattenfall Europe is holding on to a plan for a coal-fired power station in Hamburg after the city-state's new ruling coalition last week dodged a decision on the 2-billion euro ($3.19 billion) project.

Hamburg's dominant political party, the conservative Christian Democratic Union, had to tread carefully in coalition talks with its partner the Greens Party, which shows that the coal plant debate may soon start determining national politics.

State-of-the-art coal generation plants were now under construction in Germany with over 50 percent energy efficiency, which means half the primary fuel input is turned into power, Thumann said. The world average is below 30 percent.