Select committee: Public Accounts Committee
Conclusion 25
22nd Report - Government’s support for biomass
Published 25 Apr 2025
Addressed to HM Treasury
Public Accounts Committee Government support for biomass All items in this report Report on parliament.uk ↗ Inquiry on parliament.uk ↗
Conclusion (the committee's words)
While much of the debate around biomass has focused on Drax, we received several written submissions outlining the important role played by smaller biomass generators in the UK. There are at present 54 regional biomass power stations that are primarily fuelled by waste wood from household waste recycling plants. These provide enough electricity to power 1.5 million homes.71 The government support for these power stations will begin to phase out from 2027 and it is not clear what support government will make available for them to convert to BECCS.72 Any conversion to BECCS would also require the government to set out clear plans for enabling carbon capture in ‘dispersed sites’, which are sources of carbon emissions that cannot access pipelines to transport the carbon dioxide. Only four of the 54 power stations are within 10 miles of a carbon capture cluster and are therefore likely to utilise a pipeline.73 66 National Audit Office, Carbon capture, usage and storage, Session 2024–25, HC 120, July 2024, para 1.4 67 Climate Change Committee, The Seventh Carbon Budget, February 2025, p 272 and fig 7.12.1 68 Q 67 69 Committee of Public Accounts, Carbon Capture, Usage and Storage, Eighth Report of Session 2024–25, HC 351, February 2025, para 22 70 Q 67 71 Bio0017 72 Q 58 73 Bio0017 17
From: Public Accounts Committee, 22nd Report - Government’s support for biomass (HC 715), 25 April 2025
Government response
Latest Treasury Minutes progress report to the Committee of Public Accounts on the Twenty-second Report of Session 2024-26
The government responded to the whole report on 4 June 2026.
Treasury minutes: Government response to the Committee of Public Accounts on the Twenty-second report from Session 2024-25
Published 10 July 2025.
Summary written by Accountability Index from the government's response. It is not the government's own words.The government agrees with most of the Committee's recommendations on biomass, with target implementation dates between autumn 2025 and spring 2027, but disagrees on adding BECCS transition clauses to the Drax contract and says the KPMG reports are not a matter for it.
- On assessing its sustainability assurance approach, the government agrees, with a target date of autumn 2025, and says it is reflecting on evaluation and audit processes for the new Drax contract. It states the Ofgem investigation is evidence "the current assurance regime is working well".
- On a new oversight regime, the government agrees (target December 2025) and is "considering options to publish" its sustainability enforcement plans under the new Drax contract. It says any additional Ofgem oversight responsibilities "must be considered in the round".
- The government disagrees with adding clauses to the transitional support agreement to prompt Drax to transition to BECCS. It says such requirements would expose the government to "an unacceptable level of legal risk" until a full assessment of power BECCS is finalised.
- On the KPMG reports, the government says "This is not a matter for the government to consider", as the reports remain Drax's property and it is for Drax to decide whether to release them.