MPs are calling on the government to change the current subsidy system for biomass.
This is after it was revealed last month that in 2021, Drax made £893 million from government subsidies.
These are paid out due to the supposed environmental benefits of biomass – which is where wood is burned for fuel.
Jacob Rees-Mogg and Ed Miliband are some of the MPs from both the Tory and Labour parties that are calling for this subsidy scheme to be reviewed.
Mr Rees-Mogg said: “It is important that intention and reality combine to a real rather than a superficial advantage.”
He added that he was “concerned” when it comes to the “environmental benefits of Drax.”
Net zero czar Chris Skidmore concurred with the former Business Secretary, stating: “I think we probably need a new taxonomy for biomass, which is too broad a term. Waste agricultural products that rot and produce methane need to be dealt with. But wood that can be used for products shouldn’t be burnt.”
A Drax spokesperson responded: “Biomass is the only source of reliable, renewable energy and our conversion from coal to biomass is one of the primary reasons that the UK’s power sector has decarbonised as fast as it has over the last decade.
“We are committed to ensuring the biomass we source delivers positive outcomes for the climate, for nature and for the communities in which we operate.”
Chair of the All-Party Parliamentary Group on Deforestation, Chris Grayling, explained that although the subsidy scheme was created “with the best of intentions,” it is now time to take “another look at it.”
The Department for Energy Security and Net Zero said: “The UK only supports biomass which complies with our strict sustainability criteria. Details of how biomass can further contribute towards both our energy security and net zero will be set out in our forthcoming biomass strategy.”