Drax has said the government’s decision to continue supporting biomass technologies means it will convert a fourth unit at its power plant from coal to wood chip-fired generation.
The energy giant had feared government proposals to cap levels of support available through the Renewables Obligation Certificate (ROC) scheme could scupper its expansion plans.
The firm seeks to convert further units as a response to government plans to phase out all unabated coal power by 2025.
Drax Chief Executive Will Gardiner said: “We welcome the government’s support for further sustainable biomass generation at Drax, which will allow us to accelerate the removal of coal from the electricity system, replacing it with flexible low carbon renewable electricity.”
The conversion is expected to be completed during the second half of 2018.