By Steve Bargeton, political editor

SCOTTISH MINISTERS and the UK Government were on a collision course last night after Prime Minister Tony Blair signalled a new generation of nuclear power stations.

The issue could also split the Labour/Liberal Democrat Executive in the run-up to the 2007 Holyrood elections.

Yesterday Mr Blair announced a major review of UK energy policy in an address to business leaders in London that would “include specifically the issue of whether we facilitate the development of a new generation of nuclear power stations.”

Although the Government insists that no decisions have been taken, Mr Blair is known to view nuclear power as a key element in securing the UK’s energy supply.

Yesterday he said the review would be led by Energy Minister Malcolm Wicks and would aim to publish a statement on future policy in the early summer.

Mr Blair acknowledged that nuclear power was a “difficult and challenging” issue, adding, “What we need is a serious debate, not one conducted by protest or demonstration to stop people expressing their views.”

The Government will look at nuclear power along with renewables and coal, gas and new technologies as part of the review, Mr Wicks pledged.

The move, which comes nearly three years after the last landmark investigation into the country’s power supplies, would also include transport and the role of energy efficiency.

First Minister Jack McConnell said last week, “We are not prepared to consider a new nuclear power station in Scotland until the issue of waste is successfully resolved.”

What Mr McConnell has not made clear is whether he is referring to the actual disposal of nuclear waste, a process which could take 20 years, or whether he is referring to the decision on likely options.

Yesterday the Scottish Executive was not prepared to shed any more light on the matter, saying it was awaiting the findings of the Committee on Radioactive Waste Management (CoRWM), expected next July.

Although energy policy is reserved to Westminster, Scottish ministers could technically block any attempt to build new power stations north of the border because planning is a devolved responsibility.

Not only has the nuclear issue the potential to cause a rift between Holyrood and Westminster, but it could split the Scottish coalition parties.

Labour MSPs are cool on the idea of more nuclear power, but their Liberal Democrat partners are totally opposed.

A motion laid before Holyrood this week by Lib Dem backbencher Nora Radcliffe “calls on the UK Government to work on realistic approaches to cutting carbon emissions, rather than pretending that a discredited nuclear power industry can make a significant contribution.”

Sir Robert Smith, the Lib Dems energy spokesman and MP for West Aberdeenshire and Kincardine, said, “It is clear that Tony Blair has already decided to support more nuclear power stations. But the final decision about new nuclear power stations in Scotland is devolved to the Scottish Executive.

“The Liberal Democrats in government oppose the development of new nuclear power stations. On cost and waste grounds, nuclear power is not the answer for Scotland.”

SNP leader Alex Salmond claimed he had no confidence in Mr McConnell’s ability to stand up against Mr Blair on the issue.

“Blair has clearly set his heart on the new generation of nuclear power that will remain his atomic legacy when he leaves office,” he said.

“There is every prospect that Blair will attempt to impose nuclear power on Scotland and we can have little confidence in the First Minister’s ability to stand up to Westminster.”

Green MSP Chris Ballance said, “The great nuclear PR lobby is in full swing, but don’t be deceived.

“The nuclear option is the worst option to tackle the threat of climate change. More nuclear power is a backward step.

“Despite the earnest ‘new’ promises and optimistic claims of nuclear propagandists, deadly nuclear waste remains dangerous and in need of safekeeping for up to 250,000 years.

“This is not sustainable by any stretch of the imagination. We have an obligation to future generations.”

Friends of the Earth Scotland chief executive Duncan McLaren said, “Any fair assessment of energy policy would easily rule out nuclear power as unnecessary, unsafe and uneconomic. But will Blair’s review be fair?

“Politicians of all persuasions must strongly resist any attempt to foist new nuclear power stations on Scotland.

“Scotland could be a world leader in developing a low- carbon, nuclear-free economy. But this won’t happen if Blair’s energy review decides to pour good money after bad by backing new nuclear power.”

Stephen Tindale, the director of Greenpeace UK, said, “Nuclear power is not the answer to climate change—it’s costly, dangerous and a terrorist target.”

* Anti-nuclear demonstrators staged a dramatic protest yesterday which disrupted the announcement by the Prime Minister.

As he was preparing to speak two activists from Greenpeace scaled the roof structure of a conference hall, delaying his address by an hour.

They dropped hundreds of bright yellow stickers on to delegates at the Confederation of British Industry conference in London, forcing Mr Blair to make his speech in a smaller hall nearby.

The protesters were arrested on suspicion of aggravated trespass and were taken away by police.

They had gained official delegate passes last week by giving the name of a bogus company and smuggled metal harnesses through the security cordon at the Business Design Centre in Islington.