Despite the new terms of the agreement, there are risks that the support will not offer consumers value for money. The agreement was reached through bilateral negotiations with Drax and included no element of competition.56 While the government claims that the new arrangements will reduce consumer subsidies to Drax, it will be paid £113 per megawatt hour (in 2012 prices) for the electricity it generates–far more than will be paid to offshore windfarms and other renewable generators under recent Contracts for Difference.57 After our evidence session, we received correspondence from Drax stating that it considers the strike price is justified because it provides dispatchable power which is available at any time, rather than the intermittent power provided by most renewable generators. As 54 Statement by the Secretary of State for Energy Security and Net Zero, UIN HCWS424, 10 February 2025 55 Statement by the Secretary of State for Energy Security and Net Zero, UIN HCWS424, 10 February 2025; Q74 56 Q 43 57 Qq 10– 11 15 biomass generators also have to pay for fuel, Drax argues that a fairer price comparison would be gas–fired power stations, which are markedly more expensive.58