Drax hit by delays in making case for biomass - Business - Evening Standard
       

Drax hit by delays in making case for biomass

Drax today said it would take longer to prove the case for its first biomass plant as it reported a 23% rise in first-half profits.

The group, the operator of Britain's largest coal-fired power station, commissioned a co-firing biomass facility in June, but it is only running at two-thirds of capacity because of high biofuel prices.

Drax has said that new government support does not go far enough.

"Regulatory uncertainty means development work for first dedicated biomass plant will continue into 2011 before investment case can be proven," it said.

The group reported first-half earnings before interest, tax, depreciation and amortisation of £184 million, thanks to hedging and cost controls.

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