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Why Drax is investing in biomass technology

17 July 2013 Last updated at 13:14 BST

The government is turning away from its controversial policy of subsidising UK power stations to generate electricity from burning wood.

It is proposing that subsidies for bespoke biomass burning plants should be capped at 400 MW per plant.

The UK's biggest power station, Drax in Yorkshire, has been converting half its boilers from coal to wood. Most of the wood it burns is imported, particularly from the US.

Recently Dorothy Thompson, the CEO of Drax, told BBC Radio 4's The Bottom Line programme that "biomass really does deliver carbon savings", and that a shift towards renewable energy is "a sound investment strategy".

She was in conversation with the BBC's Evan Davis, investor Jim Rogers, and CEO of Ericsson Hans Vestberg.

First broadcast on Thursday, 11 July, 2013

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