Archive · 16 Sep 2025
Ofgem to Audit Drax Group's Biomass Supply Chain
Imagine a company called Drax that burns wood to make electricity.
The UK's energy watchdog, Ofgem, wants to check where Drax gets its wood from.
They're going to look at suppliers in different countries to make sure everything is above board.
Drax had to pay a fine before because some of their information wasn't quite right.
The audit will be done by an outside company and will take a while to complete.
Ofgem wants to ensure Drax is following the rules and is using the wood responsibly.
Drax says they're cooperating and want to be transparent about where their wood comes from.
If the audit finds any problems, Ofgem can take action.
Ofgem is conducting an international audit of Drax Group's biomass supply chain.
The audit covers suppliers in Canada, the US, and Brazil.
The audit is part of a settlement related to data inaccuracies.
Forvis Mazars will conduct the audit, starting by the end of September.
Drax has faced criticism regarding the green credentials of its wood source.
- Who
- Ofgem is auditing Drax Group.
- What
- An audit of Drax Group's biomass supply chain.
- When
- The audit is expected to start by the end of September and take up to 18 months.
- Where
- The audit will cover suppliers in Canada, the US, and Brazil.
- Why
- To ensure compliance and address previous data inaccuracies.
- Regulator
- Ofgem (UK)
- Company
- Drax Group Plc
- Audit Scope
- Biomass sourcing
- Audit Period
- 2023-24
- Auditor
- Forvis Mazars
- Settlement Amount
- £25 million ($34 million)
- Locations
- Canada, US, Brazil