💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

Drax biomass plant emits four times the carbon of coal station - report

Published 09/08/2024, 09:38
Updated 09/08/2024, 10:10
© Reuters.  Drax biomass plant emits four times the carbon of coal station - report
DRX
-

Proactive Investors - Drax Group (LON:DRX)’s North Yorkshire biomass site produced four times more carbon last year than the UK’s last remaining coal power station, a report has found.

Despite being classed as carbon-neutral, the use of biomass at the power plant led to 11.5 million tonnes of carbon dioxide being emitted, or 3% of the UK’s total, think tank Ember found in a report.

This was four times more than the UK’s last coal power station Ratcliffe on Soar, and higher than the next four most polluting plants combined.

The figures come after Drax claimed over £0.5 billion in clean-energy subsidies last year to support power generation at the site, which uses wood chips imported from America.

In total, Drax has claimed nearly £7 billion in such subsidies, which are funded through energy bills, since 2012.

“Supporting biomass with subsidies is a costly mistake,” Ember analyst Frankie Mayo commented, “burning wood pellets can be as bad for the environment as coal”.

The group added there was a “mounting body of evidence” against thought that biomass power reduced carbon emissions, with this relying on trees used for fuel being replanted.

“Unfortunately, the assumed carbon savings from biomass is far from guaranteed,” Ember added.

A Drax spokesperson disputed Ember’s report, arguing it was “flawed” and ignored the firm’s “widely accepted and internationally recognised approach to carbon accounting”.

Drax is awaiting a government decision on further subsidies to support its biomass power generation from 2027 and also has plans to fit carbon capture technology at the site.

Known as bioenergy with carbon capture and storage (BECCS), Drax has said the plant would be converted into the world’s first “carbon negative” power station.

“The technology that underpins BECCS is proven, and it is the only credible large-scale way of generating secure renewable power and delivering carbon removals,” the spokesperson added.

Read more on Proactive Investors UK

Disclaimer

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.