"stable, uncorrupted governments to "partner" with. "
Like the one we have here in the UK, definitely no corruption. No questionable wars, no expense fiddling by public officials, no shady deals with Murdoch or other big foreign donors, and BAe are as pure as the driven snow, they've never ever declared anything airworthy that wasn't (see below, or just ask Tony Blair).
Anyway, marginally more seriously: think about where our oil and our (liquefied) natural gas come from these days. Are the governments in that picture known for their stability and freedom from corruption? Iraq, Libya, Nigeria (to name but three)?
Wrt Mackay: he's usually excellent but quoting PV efficiency here may be unfortunate, there's some good work going on at the moment using rocks for large scale high efficiency high temperature-difference heat storage, which would knock spots off PV efficiencies as well as solving some of the storage problem. Sorry, no links (just can't remember, but others might) but it sounds a lot more plausible than BloomBolloxes (tm).
"the transmission distance alone would make it unviable in every possible way to be of any use to the UK - seriously."
Says who? Based on what? Proven HVDC transmission technologies (e.g. what we already use for a 1GW or so interconnector with France) would mean that the energy lost in transmission would be relatively small.
"Lets just get on with it and build the nuclear reactors now..."
Too late. There aren't many companies anywhere qualified to do it and "the market" in the UK (which runs, or maybe ruins, our non-existent strategic energy planning) has ensured we're at the back of the worldwide queue for nukes. We need something which doesn't have a colossal queue which can't be queue-jumped, something relatively proven and quick.
"... Iceland ..."
They do owe us loadsamoney, and energy is one way they could pay (fish any good to you?). But it's relatively small scale, and a lot of the power cables would be undersea. There's some recent evidence that undersea technology isn't always quite as reliable as you might hope. Fortunately the Med's relatively calm and peaceful.
Anyway, if Lewis is short of things to write about, we're still waiting for his coverage of last year's Nimrod inquiry report:
http://www.guardian.co.uk/commentisfree/2009/oct/29/nimrod-crash-inquiry-raf-afghanistan