Europe has long been a leader on climate change, and recent actions suggest that Europe is now leading the world to a future where coal is at the center of energy supply. The UK Labor party has come out strongly in favor of coal, as reported in The Guardian today:

Britain needs to undergo a “renaissance in nuclear power”, and coal will continue to be a “critically important fuel” for the country, the business secretary, John Hutton, said today.

In an outspoken speech, designed to put pressure on the Tories as they outline restrictions on coal-fired power stations, Hutton said that the two controversial sources of energy are crucial to ensure Britain retains a secure supply of energy.

Hutton said the international battle for energy security poses a threat to Britain’s competitiveness and its “sovereignty as a nation”.

In his speech to the Labour conference in Manchester, he added: “It means a renaissance in nuclear power. Low carbon, reliable, secure… And because energy security is a first thought, not an afterthought, I will not turn my back on another critical source of energy security for the UK: coal.”

The business secretary said he understood that people felt passionate about coal. But he took a swipe at David Cameron, who has said he will ensure that a new generation of “unabated coal power plants” cannot be built by imposing a California-style emissions performance standard.

Hutton said: “I understand that people feel passionate about this issue. Others, like the Tories, see an opportunity for pandering. But coal is critically important for the UK. Flexible. Available. Reducing our reliance on imported gas.”

Meanwhile, McKinsey & Co. came out with a report today with an optimistic view on the economics of carbon capture and storage (full report here in PDF), which was favorably received by the European energy commissioner:

Speaking at the launch of the report, Andris Piebalgs, the European commissioner for energy, called CCS the single technology that could do most to meet climate-change goals while addressing Europe’s energy-security concerns. CCS is “essential to move rapidly to economically viable, near-free carbon electricity generation”, he said.

However for CCS to work will require considerable investments in prototypes, deployment, and innovation. With Europe gambling on carbon-free coal, technological advances in CCS are no longer optional for achieving aggressive goals for stabilizing carbon dioxide levels, they are a necessity.