Half of Drax, Britain’s biggest power station, could be shut down or mothballed because it is struggling to make money, its chief executive has warned. Dorothy Thompson said Drax had launched a strategic review of the three coal-fired units at its Yorkshire power plant and was considering all options including closure. The disclosure casts fresh uncertainty over the Government’s plans to keep the lights on in coming winters, in the wake of announcements by SSE and Engie that they plan to shut coal plants this year. Mrs Thompson said the review had been triggered by commodity markets, with the coal units “struggling to make money” from current low power prices, and by the Government’s proposal to end UK coal generation by 2025. Drax has so far converted half of its units to burn biomass wood pellets and is lobbying for Government subsidies to convert the remainder of the plant. Ministers have yet to indicate that such subsidies will be forthcoming.
Telegraph 23rd Feb 2016 read more »