Downing Street today defended the creation of more taxpayers in the controversial Drax Wood-Burning Power Station.
New subsidies have been announced for the North Yorkshire Biomass Power Plant from 2027, when existing payments have to be agreed until 2031.
This is despite the fact that environmental groups and campaigners have called to an end to government support for burning biomass.
Drax, which produces about 5 percent of British electricity, would not be financially viable without the billions of pounds it received in subsidies.
It is accused of burning wood from some of the world's most precious forests, although it has said that it is convinced that the biomass used is sustainable and legally harvested.
Last summer, Drax was instructed to pay a fine of £ 25 million after a regulator discovered that it had not been successful to report accurate data about the type of material it burned.
The company said that there was 'no evidence' that it had 'intentionally reported wrong'.
Proponents of biomass say that carbon -neutral energy can create because trees and other plants first absorb carbon, then burned and release the same carbon in the atmosphere.
But critics say that this assumes that the companies only use sustainable wood in their boilers.
Downing Street has defended that the money from more taxpayers in the controversial Drax Wood-Burning Power Station is shared
New subsidies have been announced for the North Yorkshire Biomass Power Plant from 2027, when existing payments have to be agreed, until 2031
Drax is accused of burning wood from some of the world's most precious forests, although it has said that it is convinced that the biomass used is sustainable and harvested by law
From 2027, the government has announced a new support schedule that reduces electricity generation, achieves subsidies and imposes new sustainability requirements.
Energy Minister Michael Shanks said that Drax would switch from a baseload electricity generator – who runs around two -thirds of the time – to work alone as 'shipping force' when it is really needed, and that wind and sun.
Striking sustainability requirements are also brought in, with “substantial penalties on Drax if these criteria are not met,” the government added.
The new schemes will halve the subsidies that are paid to Drax and contain a mechanism in the co -fitting, which means that 30 percent to 60 percent of the profit will be returned to consumers if they go beyond the expected limits.
Biomass is the cheap option in the short term, but without extra technology to catch carbon emissions of burning wood, it is not a long -term solution, ministers said.
When asked about the new subsidies for Drax, the official spokesperson for Sir Keir Starmer: 'This agreement will halve the amount of support for Drax, it will save money on the energy bills of people, it will contribute to energy security.
'It includes a new windfall mechanism to recover surplus profit and to guarantee fair prices.
'We have also introduced heavy new measures to ensure that DRAX has to use 100 percent sustainable sourced biomass, an increase of now 70 percent.
“Not a cent of a subsidy will be paid for non-compliant biomass and there will be significant fines for not failing these strict criteria that will protect both consumers and the environment.”
Asked whether halving subsidies suggested that the government intends to distract the use of Drax, added the Prime Minister's spokesperson: 'The British climate change committee has recognized the role that biomass can play in the carbon -containing economies and Meeting Net Zero, on condition that this is provided on condition policy to reduce the use of non -durable biomass.
'With regard to this specific agreement, it is a time-limited agreement, it is designed so that biomass is only used if a backup is used when absolutely needs to ensure that consumers do not pay for unnecessary power generation.
“But without that, large -scale biomass factories would probably stop generating electricity that would remove an important source of low -carbon -poor power.”
Rick Parfett, senior policy advisor about climate on WWF-UK, said: 'Forests are crucial to prevent climate breakdown by storing carbon, so burning trees for energy will never be useful.
'The government's statement that this is not a long-term solution and their dedication to set up credible low-carbon alternatives are welcome.
“But it is deeply worrying to see that taxpayer continues to flow money to the largest polluter of the UK when we know that we can decline the energy sector without.”
Will Gardiner, Chief Executive of Drax Group, said that the new framework was an 'investment in British energy security, which will result in a net saving for consumers' and the delivery of the government's clean power will support goals.
He said that analysis indicated that it would result in a reduction of £ 1.6 to £ 3.1 billion in the costs of the electricity system, versus the construction of new fossil fuel plants – the government said would also have considerable risks.
'Under this proposed agreement, DRAX can step to increase the generation when there is not enough electricity, which means that the need to burn more gas or import capacity from Europe, and when there is too much electricity on the British grid, Drax can turn down and down Helping to balance the system, “Mr. Gardiner said.
'The size, flexibility and location of the power plant make it important for the British energy breach and the proposed agreement helps to protect the jobs and skills of today and the future, thereby creating options for billions of pounds investments in Britain, including the development From large -scale carbon removals and data centers. '
