UK’s Drax to invest up to $12.5 billion in US biomass power plants
By Susanna Twidale
LONDON, Sept 24 (Reuters) -British power generator Drax DRX.L could invest up to $12.5 billion developing biomass plants with carbon capture and storage (BECCS) in the United States over the next decade, it said on Tuesday.
Drax, which generates around 6% of Britain's electricity, said it is still committed to the UK but sees opportunities in the U.S. for its BECCS technology.
Its new Houton-based business, Elimini, is reviewing more than 20 potential sites for BECCS projects and has around 100 staff.
Elimini plans to have its first U.S. project up and running by the end of 2030 which will require a $2.5 billion investment, Elimini Executive Chair and Drax Group CEO Will Gardiner told Reuters.
"We are aiming to do more over the next decade," he said.
The company said that, as well as the BECCS plant capturing the emissions it creates by burning pellets, the absorption of greenhouse gases during the growth of the wood means its overall impact will be carbon negative, enabling it to generate carbon removal credits.
Many companies have set net zero emissions targets which require them to purchase carbon credits to compensate for the emissions they are unable to cut themselves.
Some corporate giants such as Microsoft have said they are willing to pay a premium for removal credits, which take carbon emissions out of the atmosphere.
Drax said it had already entered 11 carbon removal deals with eight companies.
Green groups have criticised the practice of biomass power generation, arguing that it is not a carbon-neutral method of energy generation and that pellet production can contribute to deforestation.
Drax says it only uses wood residuals or byproducts from trees primarily used for lumber and that demand for wood from sustainable forests can help to increase forest growth.
($1 = 0.7473 pounds)
Reporting By Susanna Twidale
Editing by Christina Fincher
免责声明: XM Group仅提供在线交易平台的执行服务和访问权限，并允许个人查看和/或使用网站或网站所提供的内容，但无意进行任何更改或扩展，也不会更改或扩展其服务和访问权限。所有访问和使用权限，将受下列条款与条例约束：(i) 条款与条例；(ii) 风险提示；以及(iii) 完整免责声明。请注意，网站所提供的所有讯息，仅限一般资讯用途。此外，XM所有在线交易平台的内容并不构成，也不能被用于任何未经授权的金融市场交易邀约和/或邀请。金融市场交易对于您的投资资本含有重大风险。
所有在线交易平台所发布的资料，仅适用于教育/资讯类用途，不包含也不应被视为用于金融、投资税或交易相关咨询和建议，或是交易价格纪录，或是任何金融商品或非应邀途径的金融相关优惠的交易邀约或邀请。
本网站上由XM和第三方供应商所提供的所有内容，包括意见、新闻、研究、分析、价格、其他资讯和第三方网站链接，皆保持不变，并作为一般市场评论所提供，而非投资性建议。所有在线交易平台所发布的资料，仅适用于教育/资讯类用途，不包含也不应被视为适用于金融、投资税或交易相关咨询和建议，或是交易价格纪录，或是任何金融商品或非应邀途径的金融相关优惠的交易邀约或邀请。请确保您已阅读并完全理解，XM非独立投资研究提示和风险提示相关资讯，更多详情请点击 这里。
