A major UK power station that has received billions in government subsidies has repeatedly failed to report its use of wood from primary forests, according to an investigation by BBC News. Drax Power Station, a converted coal plant in North Yorkshire that generates around 6% of the UK’s electricity, burns wood pellets and is required to disclose whether it sources wood from natural, previously untouched forests. The company was fined £25 million last year after the energy regulator Ofgem found it had misreported sustainability data. However, the BBC has now uncovered an additional year of misreporting—2020-21—that has not yet been addressed by the regulator. Drax did not deny the latest allegations but stated it is “focused on implementing the lessons learned.”
BBC Panorama and BBC News previously reported that Drax held logging licenses in British Columbia, Canada, and sourced wood, including whole trees, from primary and old-growth forests—ecosystems that store vast amounts of carbon and provide critical wildlife habitats. Although Drax claims it no longer bids for logging licenses and has stopped sourcing wood from certain sites, public records indicate the company still acquires whole trees from primary forests, felled by third-party loggers. The company’s sustainability policy states it will “avoid damage or disturbance to high carbon forests,” which include primary forests. Yet, data obtained by the BBC through environmental information requests reveal that in 2020-21, Drax burned over 1.2 million tonnes of wood pellets from Canada, a significant portion of which came from primary forests in British Columbia. However, Drax failed to report any of this to Ofgem.
The UK’s biomass sustainability criteria do not prohibit the use of whole trees from primary forests for wood pellets. Nevertheless, Ofgem requires accurate sustainability reporting to monitor the impact of biomass on carbon emissions and biodiversity. Ofgem imposed the £25 million penalty on Drax last year after its initial investigation and warned that it “won’t hesitate to act” in cases of further wrongdoing. However, when approached about the BBC’s new findings, the regulator did not commit to specific action. Instead, it stated it is requiring Drax to undergo a full independent audit of its global supply chain data and will investigate further if additional evidence emerges.
The UK government is expected to extend Drax’s renewable energy subsidies, which are set to expire in 2027. However, this latest revelation comes as policymakers consider revising biomass sustainability criteria. The Department for Energy Security and Net Zero acknowledged past shortcomings in biomass regulations and stated it is working with Ofgem to ensure future compliance. A government spokesperson said: “The situation we inherited for large-scale biomass generators was unacceptable. Ofgem required a further audit, and they are working closely with Drax to ensure any misreporting does not happen again.”
Drax, for its part, has reduced its reliance on Canadian wood, stating that only about 2.5% of its pellets in 2023 came from British Columbia, primarily from designated public forests. The company maintains that its biomass sourcing meets sustainability requirements set by the UK, US, Canada, and the EU. As scrutiny over biomass energy grows, the BBC’s findings raise further questions about whether Drax has misled the government and the public over its environmental impact.
