Government threatens hefty penalties for major power plant after catching sneaky behavior: 'A much more limited role'
The U.K. government has cut in half the subsidies it will give to a large power plant while also warning the plant to clean up its act or face large fines.
As reported by The Guardian, Drax Power Station in North Yorkshire, England, has been told by the government that it will play a much smaller role in providing electricity to the country moving forward and as a result has had the subsidies it receives cut in half. This reduction will go into effect between 2027 and 2031, and the government estimates it will save consumers around £170 million ($214 million) a year.
The plant, which runs on biomass, has also been told it must use 100% sustainable wood after being caught out importing wood chips from U.S. and Canadian forests, which is far from sustainable. The government threatened "substantial penalties" if the power plant does not comply, per The Guardian.
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The United Kingdom is working to decarbonize its electricity grid by 2030. As part of this effort, the final coal power plant in the country shut its door in September, and the nation's renewable energy has surged. According to the National Grid, in 2023, renewable sources generated 51% of the country's electricity, peaking at 87.6% on Jan. 4, 2023.
Massive growth in renewable energy is expected globally by the end of the decade, as it could provide close to 50% of the world's electricity demands, according to the International Energy Agency.
An increase in renewable energy production is good for people and the planet because it helps reduce the amount of dirty energy produced by burning coal, gas, and oil. This will help cut harmful pollution that is impacting people's health and causing the planet to heat up.
The U.K. government released a statement about this big decision, writing, "Our central projections show that, on the right terms and in a much more limited role than today, biomass generation at Drax is the lowest cost option, including when compared to gas-fired power stations, for bill payers during this period," per The Guardian.
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