- Drax has applied to the Environment Agency to amend its environmental permit to include a bioenergy with carbon capture and storage (BECCS) facility at its power station near Selby, North Yorkshire.
- The proposed two-unit BECCS project could require government subsidies estimated at £30 billion over 25 years, more than the combined support allocated to the UK’s track‑1 carbon‑capture clusters.
- Drax hopes to secure funding through the government’s greenhouse gas removal (GGR) and power BECCS business models.
British biomass‑power giant Drax is edging closer to adding carbon capture to its North Yorkshire plant, signalling a potential watershed moment for bioenergy with CCS in the UK.
After two years of consultations, the Environment Agency says it sees “no reason to refuse” Drax’s application to modify its permit and incorporate carbon capture equipment. Yet the proposal hinges on securing billions of pounds in taxpayer subsidies, raising questions about value for money and the role of BECCS in the energy transition.
Drax operates one of the world’s largest biomass power plants, burning compressed wood pellets imported from North America and Europe. The company argues that attaching CCS equipment to two of its four generating units could remove up to 8 million tonnes of CO₂ per year, making the site carbon‑negative and providing critical negative emissions to meet the UK’s net‑zero target.
Critics counter that burning biomass releases significant emissions upfront and may not deliver net reductions if supply chains are not sustainably managed.
Hurdles
The Environment Agency’s draft decision marks a regulatory milestone. It notes that Drax addressed earlier concerns by providing a revised air‑emissions risk assessment and that regulators are satisfied the proposal meets environmental standards. The final decision will follow the third consultation, which allows the public to submit comments until 24 June.
Financing remains the bigger hurdle. Analysts estimate that the BECCS project could require about £30 billion in subsidies over its lifetime. This far exceeds the £21.7 billion committed to the UK’s two track‑1 CCS clusters.
Energy Secretary Ed Miliband has not yet endorsed the BECCS model, saying only that no final decisions have been made. Without a clear funding framework, Drax cannot reach a final investment decision.
The government is developing separate business models for greenhouse gas removal and power BECCS to attract private capital.
The project sits at the intersection of energy, environment and industrial policy. Supporters say large‑scale BECCS is essential for achieving net‑zero, citing the need for negative emissions to offset hard‑to‑abate sectors.
Opponents argue that subsidising biomass could divert funds from cheaper renewable technologies and risk perpetuating unsustainable forestry practices. At a political level, Drax’s application will serve as a precedent for how the UK treats BECCS projects, balancing climate benefits with cost and social acceptability.
