The City watchdog has dropped its probe into whether the owner of the Drax power station made misleading environmental claims to shareholders.
It followed a 10-month review ‘of thousands of pages of complex material’ by the Financial Conduct Authority about wood pellets used to generate electricity at the Drax complex near Selby in North Yorkshire.
Drax, once the UK’s largest coal-fired power plant, imports wood pellets from Canada.
The electricity produced from the biomass is treated as ‘zero-emission’ and accounts for around a tenth of the UK’s renewable electricity.
Drax says its biomass is from sustainably managed forests – meaning energy can be considered sustainable – and has received billions of pounds in taxpayer subsidies.
