The Financial Times has reported that the UK energy regulator has commissioned US consultants to probe Drax over the company’s use of biomass.
Last year, the UK’s energy regulator Ofgem launched an investigation into energy company Drax’s compliance with the country’s biomass sustainability regulations, according to documents obtained through a Freedom of Information request.
An Ofgem spokesperson told ELN: “Ofgem takes scheme compliance extremely seriously and where we identify or suspect that requirements are not being met we may decide to investigate further.
“We regularly undertake additional audits of Drax’s adherence to the Renewables Obligation (RO) scheme, using an independent auditor. This is an extra layer of assurance, over and above the requirements set out in regulations, recognising the significant values involved.”
A spokesperson for Drax told ELN: “Ofgem has recently informed Drax that it will commence an audit to verify the information the business provides to the regulator for the issue of Renewables Obligation Certificates (ROCs) and Renewable Energy Guarantees of Origin Certificates (REGOs).
“This a standard audit under Ofgem’s RO scheme and is not being undertaken using investigative powers.”