SaralnamaThe UK’s Financial Conduct Authority (FCA) started an investigation on 28 Aug 2025 into Drax Group over past statements about its wood pellet sourcing for biomass power. The probe covers January 2022 to March 2024 and checks if Drax followed rules on disclosure and transparency in its 2021, 2022, and 2023 annual reports. Drax will cooperate with the FCA. The investigation follows claims that Drax made misleading statements about its biomass sourcing, which Drax denies. Drax shares fell up to 10% after the news. Earlier, Drax was fined £25 crore for inaccurate subsidy data. The UK government plans to continue subsidies for Drax’s biomass plant in Yorkshire after 2027, with support expected to exceed £10,000 crore from 2012 to 2027. Critics question the environmental impact of wood pellet burning, which still produces emissions and may cause deforestation. (Updated 28 Aug 2025, 13:55 IST; source: link)