Comments on: Public Accounts Committee raises concern over lack of targets and public benefits in ‘unproven’ CCS programme https://www.newpower.info/2025/02/public-accounts-committee-raises-concern-over-lack-of-targets-and-public-benefits-in-unproven-ccs-programme/ Expert information for all those invested in the UK's energy future Fri, 20 Feb 2026 08:08:27 +0000 hourly 1 http://wordpress.org/?v=3.6 By: Jack Spruill https://www.newpower.info/2025/02/public-accounts-committee-raises-concern-over-lack-of-targets-and-public-benefits-in-unproven-ccs-programme/#comment-96591 Jack Spruill Fri, 21 Feb 2025 08:50:30 +0000 http://www.newpower.info/?p=13709#comment-96591 Thank you, Mr Hewitt, for you in-depth, but concise analysis of this complex matter.

]]> By: James Hewitt https://www.newpower.info/2025/02/public-accounts-committee-raises-concern-over-lack-of-targets-and-public-benefits-in-unproven-ccs-programme/#comment-96587 James Hewitt Fri, 14 Feb 2025 08:55:23 +0000 http://www.newpower.info/?p=13709#comment-96587 To help reduce reliance on imported sources of energy, the level of subsidy which the owners of Drax and Lynemouth power stations currently enjoy is to reduce by roughly half with effect from 01 April 2027.
Amongst other things, this reflects that
1) the cost of converting those power stations to burn wood pellets instead of coal will presumably have been fully depreciated by 31 March 2027 when their current RO and/or CfD subsidies expire; and
2) recognition of the carbon debt which the supply and burning of those pellets causes.
The CfD subsidy would not oblige Drax and Lynemouth to generate electricity during an energy crisis such as that of 2022/2023 when the strike price is below the market reference price – clearly exacerbating energy insecurity.
Financial close for prospective carbon capture facilities is unlikely before the initial / anchor projects of Track 1 clusters are proven to dispose of captured CO2 in geological formations at a rate anywhere near the 90% proposed (and required to meet legally binding UK Net Zero by 2050).
That capture rate (which proponents do not guarantee) would have to be achieved consistently during routine operation for a substantial period. Given the imperative of permanent disposal (not temporary capture) it would be prudent for that period to be at least a few years. The term of the new subsidy for Drax and Lynemouth may have expired before that period ends. At least one of those power stations may have closed by then anyway.

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