UK energy regulator Ofgem opens investigation into Drax reporting

UK’s energy regulator Ofgem said today it is investigating Drax’s compliance with annual profile reporting requirements under the UK’s Renewables Obligations scheme.

The regulator said in a statement the opening of the investigation, “does not imply that we have made any findings about possible non-compliance by Drax Power Limited.”

In a response to Ofgem’s statement, Drax said the regulator, “has separately confirmed that it has not established any non-compliance that would affect the issuance of Renewable Obligation Certificates (ROCs) to Drax, and therefore the associated financial benefit.”

The company said it continues to co-operate fully throughout the process.

Drax appointed a third party last year to independently verify the accuracy of its biomass sustainability and profiling data and said it is confident in the compliance of its biomass with the Renewables Obligation criteria.

Drax operates 10 wood pellet plants in Alberta and B.C., and seven in the U.S.