Overview

• Drax said it was notified on Tuesday that the Financial Conduct Authority had launched a probe covering January 2022 to March 2024.
• Regulators will assess whether Drax’s 2021, 2022 and 2023 annual reports complied with listing, disclosure and transparency rules.
• The company said it will cooperate with the investigation, and its shares fell about 8% in morning trading after the announcement.
• Former public affairs lead Rowaa Ahmar alleged Drax misled over biomass sourcing, including from sensitive Canadian forests, before settling her tribunal case after the company denied the claims.
• Earlier this year the government reshaped support for Drax’s North Yorkshire plant, cutting subsidies with a windfall mechanism, while the station supplies roughly 5% of UK electricity.