In October 2021, a complaint was submitted to the UK National Contact Point (“NCP”). The NCP is part of the Department for Business and Trade. It is responsible for promoting the OECD guidelines for multinational enterprises on responsible business conduct and for operating the complaints mechanism set out in the guidelines.
The complaint was brought against Drax, a UK-based energy company, which operates several biomass and hydroelectric power stations in the UK. Drax has an international supply chain operation, including in Canada, Estonia, and the United States, for sourcing wood pellets for use at one of its power stations.
The complaint was brought jointly by The Lifescape Project, The Partnership for Policy Integrity, The Royal Society for the Protection of Birds, Biofuelwatch, Save Estonia’s Forests, and Conservation North.
The complainants allege that Drax has not observed the OECD guidelines by publishing a range of misleading or inaccurate statements about its carbon emissions and the environmental impacts of its business and supply chain activities. 
In July 2022, after an initial assessment, the NCP decided the complaint merited further consideration in respect of provisions in the guidelines on the environment and on consumer interests. That will have triggered an offer by the NCP to the parties of mediation. If any party declined this offer, the NCP will conduct a further examination of the complaint. This would include a determination on whether Drax had acted consistently with the Guidelines. If non-adherence is found, the NCP may provide non-binding recommendations for improving Drax’s adherence.


Complaint against Drax Group PLC under the OECD Guidelines brought by the Lifescape Project and others

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Complaint against Drax Group PLC under the OECD Guidelines brought by the Lifescape Project and others - judgment

Filed

International

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An aim to achieve a quantifiable outcome within a given time-frame, set by an institution such as a national government.

Policy instruments are techniques or tools used by governing authorities to promote certain policies in order to achieve predetermined goals. Put simply, instruments are how a government tries to achieve its goals, with this taxonomy being focused on national policy instruments.

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Area of the economy in which actors engage in identical or related activities.

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The management and allocation of funds, assets and investments to meet various objectives

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Either money or something of monetary value is transferred between two or more organisations, people or countries.

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Energy derived from biological compounds that are renewable due to their short life cycle within the carbon dioxide cycle.

Electrical energy generated from mechanical devices driven by flowing fresh water.

Coal is a combustible sedimentary rock formed from carbonised plant matter, rich in carbon and hydrocarbons, and occurring in several main types including hard coal and brown coal.

The activities of industries that transforms raw materials into finished goods through industrial processes.

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This sector involves the wholesale and retail selling of goods.

This sector creates and distributes information and entertainment through television, radio, print, and digital platforms.

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Climate change impacts our society by disrupting the natural, economic and social systems we depend on. Physical hazards and underlying vulnerabilities can lead to increased resource competition for food and water, which can heighten the risk of conflict.

Complaint against Drax Group PLC under the OECD Guidelines brought by the Lifescape Project and others - judgment

Target

Risk

Renewable energy

Fossil fuel

Greenhouse gas

Economic sector

Finance