UK electricity group Drax is committing up to $12.5bn in the US over the next decade to build power plants to take advantage of the country’s lucrative subsidies and expectations of surging energy demand.

Drax, a British power generator, said that it could invest up $12.5 billion in developing biomass plants with Carbon Capture and Storage

Drax Group Plc, operator of the UK’s largest power station, aims to invest $12.5 billion building new biomass power plants in the US over the next decade, taking advantage of generous subsidies.