Madeleine Cuff, Business Green
Summary
New rules to limit the cash available for biomass projects in upcoming government clean energy auctions have been slammed by the industry, which warns curbing biomass growth will "make it harder and more expensive" to ease coal power off the UK grid.
But environmental campaigners who have long opposed biomass over fears it can inadvertently drive deforestation have cheered the moves, expressing "relief" that subsidies for the technology are being revised.
The controversy was sparked late last week after the government published plans to adopt a new greenhouse gas threshold of 29kg of CO2 per MWh for new biomass projects seeking subsidy under its Contracts for Difference support scheme.
The new threshold represents a sharp reduction on the previous standard projects had to meet to qualify for the Renewables Obligation scheme, which stood at 180 CO2e/MWh and applies from 2025-2030 for existing biomass generators.
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