UK Inquiry Tracker

Government support for biomass

Public Accounts Committee Closed Inquiry

Opened: 4 Feb 2025 Closed: 16 Jun 2025 Parliament page

Over £20bn in support for businesses and households using biomass (such as plants or food waste) for fuel has been provided by Government since 2002. In combination with carbon capture, usage and storage , the Government is relying on the use of biomass to make a significant contribution to reaching … Read more

2 Recommendations

23 Conclusions

1 Report

1 Oral session

5 Letters

1 Event

Activity timeline 8 events

15 Dec
2025

Correspondence

Letter from the Permanent Secretary at the Department for Energy Security and Net Zero relating to Regulation of the biomass industry, 03 D…

15 Dec
2025

Correspondence

Letter from the Permanent Secretary at the Department for Energy Security and Net Zero relating to Government support for biomass, 03 Decem…

15 Dec
2025

Correspondence

Letter from the Chair to the Permanent Secretary at the Department for Energy Security and Net Zero relating to Regulation of the biomass i…

10 Jul
2025

Report published

Treasury minutes: Government response to the Committee of Public Accounts on the Twenty-second report from Session 2024-25

25 Apr
2025

Report published

22nd Report - Government’s support for biomass

27 Mar
2025

Correspondence

Letter from the Permanent Secretary of the Department for Energy Security and Net Zero relating to the oral evidence session held on 03 Mar…

27 Mar
2025

Correspondence

Letter from the Chief Sustainability Officer at Drax relating to providing help with the Committee’s recommendations to Government regardin…

3 Mar
2025

Oral evidence

Oral evidence session

Oral evidence sessions 1 session

3 Mar 2025

View on parliament.uk

Ashley Ibbett · Department for Business, Energy and Industrial Strategy Dr Sarah Redwood OBE · Department for Energy Security and Net Zero Jeremy Pocklington · Ministry of Defence Jonathan Brearley · Ofgem Jonathan Brearley · Department for Energy Security and Net Zero Kiera Schoenemann · Ofgem

Reports 1 report · click to expand

Title	HC No.	Published	Items	Response
22nd Report - Government’s support for biomass	HC 715	25 Apr 2025	25	Response document linked

Recommendations & Conclusions

25 results

2 Recommendation

22nd Report - Government’s support…

Estimate cost and test effectiveness of monitoring increased biomass sustainability and Drax's sourcing.

DESNZ has not made clear how its plans to strengthen the sustainability rules might work in practice. In its Biomass Strategy, published in August 2023, DESNZ committed to develop and consult on a common sustainability framework which could be applied … Read more DESNZ has not made clear how its plans to strengthen the sustainability rules might work in practice. In its Biomass Strategy, published in August 2023, DESNZ committed to develop and consult on a common sustainability framework which could be applied to new future biomass policies and schemes across different sectors of the economy. It also committed to considering whether it should introduce a requirement that, to meet the standards for the land criteria, 100% of woody biomass should be sustainable rather than the current 70%. DESNZ acknowledges that a new approach to assurance is needed and that increasing the stringency of rules around sustainability may need an increase in resources to monitor compliance. Ofgem’s investigation into Drax, together with the detailed follow up work, indicates the level of resources which may be required to provide a higher level of assurance. Ofgem’s ability to provide assurance 4 over higher standards of sustainability will depend on increases in financial support from DESNZ and HM Treasury. Given the significant public concerns raised in relation to the findings of the KPMG review commissioned by Drax into its Canadian supply chain processes and reporting practices, from the forests of Western Canada to the power station in North Yorkshire, the full report should be made available for Parliamentary scrutiny. recommendation a. DESNZ should estimate the cost and test the effectiveness of its proposals for monitoring compliance against an increased threshold for sustainability; b. DESNZ and HM Treasury should, working with Ofgem, consider the resource implications for Ofgem of introducing and then running a new oversight regime. DESNZ should set out, and publish, the steps it is taking to make sure it has the confidence that all the fuel burned at Drax is sustainably sourced; and c. Drax should provide the Committee with the full report as produced following the review commissioned from KPMG of its Canadian supply chain processes a Show less

HM Treasury

Government support for biomass

Activity timeline 8 events

Oral evidence sessions 1 session

Reports 1 report · click to expand

Recommendations & Conclusions

Estimate cost and test effectiveness of monitoring increased biomass sustainability and Drax's sourcing.

Include clauses in Drax's transitional support agreement to prompt BECCS transition.

Map critical path for BECCS deployment and develop contingency plans for decarbonisation goals.

Develop approach to identify and mitigate risks to domestic and international biomass supply.

Committee took evidence from DESNZ and Ofgem on government’s support for biomass.

DESNZ holds overall responsibility for biomass strategy, with Ofgem administering financial support schemes.

Stakeholders expressed significant concerns about biomass production impacts, Drax support, and accreditation effectiveness.

DESNZ sets sustainability criteria for biomass, but Ofgem does not always require direct evidence.

Concerns persist regarding the fitness for purpose of biomass sustainability certification schemes.

Ofgem found misreporting by Drax, but confirmed legitimate subsidy receipts under existing thresholds.

Concerning non-compliance with sustainability criteria found across numerous biomass power generators.

Consultation on new biomass sustainability framework and 100% target remains delayed.

Ofgem investigation found Drax misreported data due to poor governance, resulting in redress.

Government agreed Drax deal requiring 100% sustainable fuel, necessitating a tighter assurance regime.

Sustainable biomass supply faces limitations, raising concerns about UK energy security.

Domestic biomass production risks conflicting with food security and land availability.

Long biomass supply chains complicate sustainability verification and carbon accounting reliability.

Government extends financial support for Drax to secure national energy supply until 2031.

New Drax agreement aims for reduced operational role and significant subsidy savings.

Bilateral Drax agreement raises value-for-money concerns due to high subsidy rates.

Prior evidence suggests Drax gamed subsidy system, raising doubts about new agreement robustness.

New Drax agreement offers limited impact on emissions and lacks BECCS investment incentives.

BECCS considered essential for UK decarbonisation, despite reduced projected role by 2050.

Initial BECCS plant target of 2030 will not be met, future support unclear.

Uncertainty surrounds government plans for smaller biomass generators to convert to BECCS after 2027.

Correspondence 5 letters