Ports help Drax generate more than £1bn for UK economy
Ports in the north of England, including Liverpool, Tyne, Hull and Immingham, have helped energy business Drax generate £1.2bn and more than 14,000 jobs for the UK economy, reveals a new report from Oxford Economics.
The consultant used three measures to calculate Drax Group’s GDP contribution: the direct activities of the group and its contractors, activity and employment in the supply chain of the group and its contractors, and spending by all employees involved.
The report also analysed the economic impact of upgrading Drax to use compressed wood pellets instead of coal. It reveals that multimillion pound investment by Port of Tyne, Port of Liverpool and Humber Ports in their biomass import and handling facilities has thus far helped Drax to contribute £710m in GDP throughout the UK economy and support 11,400 jobs, half of these in construction, manufacturing and transport.
In the north, the biomass upgrade of Drax accrued £245m to the regional economy and sustained 4,200 jobs during the period.
Drax Group’s chief executive Dorothy Thompson said: “This report shows Drax is supporting more than 14,000 jobs across the UK, with the vast majority resulting from our upgrades to biomass technology.”
She added that, with the right support from government, Drax aims to upgrade more of its electricity production using compressed wood pellets. “This would provide a further boost to the UK economy and deliver increased carbon savings,” she said.