Government asks energy company to extend life of coal power units in supply security push
The government is exploring the possibility of expanding the lifespan of the UK’s coal-fired power stations, as it aims to bolster the country’s energy security following Russia’s invasion of Ukraine.
It has asked power generation business Drax Group (Drax) to postpone the closure of its two remaining coal units at its plant in Selby, North Yorkshire – which are set for decommission in September.
Drax has confirmed the request in a trading update, which remains under review.
The two coal units are not currently open for commercial coal operations, however Drax has signed a capacity market agreement with government, which has delayed their closure – originally pencilled in for March 2022 – by a further six months.
The other four active units at the Drax Power Station run on sustainable biomass.
Drax has only run its coal power units four times this year despite being placed in the government’s balancing mechanism, where it can be drafted in as a back-up energy source in the case of supply shortages.
Business Secretary Kwasi Kwarteng has also written to EDG and Uniper, which operate two of three operating coal power plants domestically.
Currently, there is no suggestion of the government overruling commercial decisions from companies over plant closures.
Following a long-term shift to gas and a ramp-up in renewables, only West Burton A, Kilroot and Ratcliffe-on-Soar remain active, with all three set for closure by 2024.
A government spokesperson told City PM: “In light of Russia’s illegal invasion of Ukraine, it is right that we explore a wide range of options to further bolster our energy security and domestic supply. That’s why we are exploring slightly extending the life of our remaining coal-fired power stations to provide additional back up electricity this coming winter if needed. It remains our firm commitment to end the use of coal power by October 2024.”
However, the government is reportedly considering opening the UK’s first coal mine in three decades.
According to The Telegraph, Levelling-Up Secretary Michael Gove is considering approving a new colliery in Cumbria to help the country cut its reliance on Russian coal.
People close to the matter said Gove, who has until 7 July to make up his mind, will announce his decision by mid-May.