Controversial Drax power station gets more government subsidies

Published On Feb 10, 2025, 3:49 AM

The UK government has reached a new funding deal with Drax, the wood-burning power station, aimed at reducing its subsidies from nearly £1 billion to £470 million. The arrangement, effective from 2027 to 2031, stipulates that Drax will primarily serve as a backup power source when renewable resources such as wind and solar are insufficient. Critics argue that Drax remains a high emitter of CO2, although Drax contends that burning wood is carbon neutral. The deal includes a clause to limit excessive profits and mandates that all wood pellets must be sustainably sourced, avoiding materials from old-growth forests.