(Bloomberg) —
Drax Group Plc plans to start a US-based business to oversee construction and development of its new carbon-capture plants worldwide.
The entity, to be based in Houston, is set to open later this year and will be “operationally separate” within the Drax Group, the company said in a statement. Laurie Fitzmaurice, a energy-infrastructure expert who previously worked for Amazon Web Services, will lead the new business.
Drax highlighted the importance of carbon-capture technology on a world scale to help tackle climate change. The company plans to work with partners to remove at least 6 million tons of carbon dioxide from the atmosphere annually.
“We have a limited window of opportunity to capitalize on our first-mover advantage, and I am confident that the time is right for this approach,” Drax Group Chief Executive Officer Will Gardiner said.
The firm said the US Inflation Reduction Act, which provides incentives for clean energy, is a major source of support for its plans to expand in the nation. Bloomberg reported in May that Drax was looking to expand in the US, due in part to the green-energy law.
In Drax’s home market, the UK, the company is waiting for more clarity on crucial government subsidies to help make its plants profitable. It’s looking to fit biomass generators with carbon capture technology to allow it to access future funding. A UK government watchdog report earlier this week raised questions about the sustainability of biomass projects.
Read more: UK Lacks Visibility on Biomass Sustainability, Watchdog Says
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