Shepherd wins £50m Drax biomass facility

Aaron Morby 7 years ago
Share

Electricity generator Drax has awarded Shepherd Construction  the contract to build a biomass storage and handling facility at Selby in North Yorkshire.

Drax confirmed its plans to invest £50m this year in new biomass storage and handling facilities and other plant modifications to allow it to co-fire the power  station with coal and biomass.

Mixing materials such as wood chips, sunflower husks or grasses with coal to generate electricity will reduce the power station’s annual carbon dioxide emissions from coal by several million tonnes.

The contract with Shepherd will assist in delivering the capability to produce up to 20% of the power station’s output from sustainable biomass.

Mark Perkins, chief executive of Shepherd’s Built Environment Division said: “Shepherd Group’s designers have worked closely with the Drax team to develop integrated technical solutions that will create world leading biomass facilities and support Drax’s intention to become a lower carbon generator.

“The project will also generate wider opportunities for local people in terms of employment and skills training, and we will be maximising opportunities for local businesses, working closely with our supply chain partners throughout the build.”

Dorothy Thompson, Drax Chief Executive said: “We are pleased to announce the contract with Shepherd which marks the next step in our biomass journey.

“Delivering reliable, low carbon power in the most cost effective way is a win-win-win, it’s good for security of supply, good for the environment and reduces the cost burden on consumers’ energy bills.

“Drax is ready to transform itself into a predominantly biomass fuelled generator, but to do so we need appropriate regulatory support, and to that end we look forward to the timely conclusion of the Government’s current review of the future support levels for renewable technologies.”

A £450m development programme to boost “co-firing” is under consideration, but the rate of expansion is also dependent on government financial help.

Co-firing currently accounts for 6% of Drax output, but the long-term plan is to take it to over 50%.

In October 2011, the Government announced its proposals for the future subsidy levels for renewable technologies.

Drax welcomed the creation of a new band for ‘enhanced co-firing’, but added that a moderate uplift of the proposed level would be necessary to maximise the full potential of Drax to produce this low carbon, low cost and reliable form of renewable power.

Increasing the power station’s biomass co-firing capability to 20% of output will ensure that Drax qualifies for increased support under the new proposals.

However, further significant investment to transform Drax into a predominantly biomass fuelled generator is dependent upon appropriate regulatory support.

The Government aims to publish its response to the consultation on future support levels in the Spring and legislate in the Summer.

Latest news

Giant ‘concreteberg’ blocks sewers in Islington

Work starts to chisel out 105 tonne blockage as hunt starts for culprits
2 hours ago

Lendlease chief jumps for Crown Estate top job

Dan Labbad to take Crown Estate chief executive role at start of 2020
2 hours ago

Race starts for £2bn YORcivil framework places

Eight firms to share £2bn pipeline over four years
2 hours ago

Green light for £150m Bolton Church Wharf regen plan

Muse approved to start demolition and work up details of scheme
3 hours ago

Wills Bros wins £31.5m Maybole Bypass in Scotland

5.2km bypass on A77 in south west Scotland will employ 165 workers at peak
3 hours ago

VINCI starts work on new £100m Birmingham hospital

Contractor gets underway on three-year build programme
5 days ago

Boost your online presence – join the Enquirer Directory

New site for suppliers and buyers showcases products, services and latest stories
12 months ago

Pay row set to escalate on HS2 enabling works site

Dispute set to intensify over rates paid by labour supplier
5 days ago

Four civils firms scoop £2.6bn flood and coastal framework

Kier breaks into Environment Agency preferred contractors list
5 days ago

Costain making engineers redundant at tech centre

Contractor cutting jobs at technology division it bought for £17m in 2016
5 days ago

Dozen firms win £500m City of London deal

Morgan Sindall, Osborne and Speller Metcalfe among winners
5 days ago

New £3m fund to improve construction procurement

Companies invited to bid for cash grants in CITB-led efficiency drive
5 days ago

Green light for vast Nottingham Boots Island scheme

Developer Conygar plans to build a 2m sq ft mixed-use scheme
5 days ago

Goldman Sachs bankrolls Brum’s tallest resi project

Builder Sisk can now start work on 42-storey Broad Street skyscraper
5 days ago

SME contractors agree 2.75% pay deal for workers

Annual pay increase will see hourly craft rates rise to £12.79
6 days ago

Lakehouse subbie goes after Sureserve for cash

Specialist wins adjudication award after contractor goes bust
6 days ago

Firms on alert for M4 Newport £185m enabling works

Bidders day planned ahead of July invitation to tender
6 days ago

Robertson hires Laing O’Rourke infrastructure ops director

Bryan Glass will head Robertson's civil engineering business in Scotland
6 days ago

Wates starts £24m Shoreham flood defence

Enabling works to pave way for 540-home Free Wharf scheme
6 days ago

£400m Eastern Highways Framework up for renewal

Essex County Council to invite bids for third generation framework in June
6 days ago

Countryside chief operating officer exits

Rebecca Worthington steps down as Countryside reports strong first half trading
6 days ago

Willmott Dixon chalks up £20m Liverpool nursing school

Liverpool John Moores University Tithebarn building and library to be extended and refurbished
6 days ago

Boy, 12, falls from scaffold ladder on poorly guarded site

Ten metre fall inflicts life-changing injuries on boy
7 days ago

Galliford Try profit warning sparks construction arm review

Firm warns profits will be £40m below forecasts after Queensferry Crossing hit
1 week ago

Morgan Sindall boosts north west leadership team

Growth drive sees new directors appointed in Manchester and Liverpool
1 week ago

Walter Lilly wins £55m London medical HQ project

Renew Group building specialist signs preconstruction services agreement
1 week ago

Autumn start for Mount Anvil’s largest ever scheme

Green light for 800-home Royal Eden Docks scheme in East London
1 week ago

Laing O’Rourke strategy boss joins Royal BAM

Simon Finnie steered strategy at Laing O'Rourke and Kier over six years
1 week ago

New Structure Tone division lands first major deal

Detail & Build team bags fit-out for new owners of Heron House
1 week ago

New Kier chief sets out to streamline £4bn group

Andrew Davies launches strategic review to simplify business and improve cash flow
1 week ago

Contractor services