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New report finds Drax Contributes $1 Billion to Canadian Economy

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A new economic analysis by MNP reveals that Drax Group contributed $1 billion to the Canadian economy and supported over 3,000 jobs in 2023. Drax operates 10 pellet plants across British Columbia and Alberta, producing sustainable biomass wood pellets for renewable power generation in the UK and Asia. The company's commitment to local sourcing is evident, with nearly 75% of goods and services purchased from provincial suppliers.

The report highlights Drax's significant impact on rural communities, providing 26% and 18% of total employment income in Entwistle and Burns Lake respectively. Drax's operations support various sectors, including high-skilled manufacturing, engineering, and transportation. The company's use of residuals and by-products from local sawmills also contributes to waste reduction and wildfire prevention.

Una nuova analisi economica di MNP rivela che il gruppo Drax ha contribuito con 1 miliardo di dollari all'economia canadese e ha supportato oltre 3.000 posti di lavoro nel 2023. Drax gestisce 10 impianti di pellet in British Columbia e Alberta, producendo pellet di legno biomassa sostenibili per la generazione di energia rinnovabile nel Regno Unito e in Asia. L'impegno dell'azienda per l'approvvigionamento locale è evidente, con quasi il 75% dei beni e servizi acquistati da fornitori provinciali.

Il rapporto evidenzia l'impatto significativo di Drax sulle comunità rurali, fornendo il 26% e il 18% del reddito totale da lavoro a Entwistle e Burns Lake rispettivamente. Le operazioni di Drax supportano vari settori, tra cui la produzione ad alta competenza, l'ingegneria e il trasporto. L'uso di residui e sottoprodotti provenienti dai segherie locali da parte dell'azienda contribuisce anche alla riduzione dei rifiuti e alla prevenzione degli incendi boschivi.

Un nuevo análisis económico de MNP revela que el grupo Drax contribuyó con 1.000 millones de dólares a la economía canadiense y apoyó más de 3.000 empleos en 2023. Drax opera 10 plantas de pellets en Columbia Británica y Alberta, produciendo pellets de madera de biomasa sostenibles para la generación de energía renovable en el Reino Unido y Asia. El compromiso de la empresa con la obtención local es evidente, con casi el 75% de los bienes y servicios comprados a proveedores provinciales.

El informe destaca el impacto significativo de Drax en las comunidades rurales, proporcionando el 26% y el 18% del ingreso total por empleo en Entwistle y Burns Lake respectivamente. Las operaciones de Drax apoyan varios sectores, incluyendo la manufactura de alta calidad, la ingeniería y el transporte. El uso de residuos y subproductos de los aserraderos locales por parte de la empresa también contribuye a la reducción de desechos y a la prevención de incendios forestales.

MNP의 새로운 경제 분석에 따르면 Drax Group은 캐나다 경제에 10억 달러를 기여했습니다 그리고 2023년에는 3,000개 이상의 일자리를 지원했습니다. Drax는 브리티시컬럼비아와 알버타에 걸쳐 10개의 펠렛 공장을 운영하며, 영국과 아시아에서 재생 가능 에너지를 생성하기 위해 지속 가능한 바이오매스 목재 펠렛을 생산합니다. 지역 조달에 대한 회사의 헌신은 거의 75%의 상품과 서비스를 주 정부 공급업체로부터 구매하고 있다는 점에서 분명합니다.

보고서는 Drax가 농촌 지역 사회에 미치는 중요한 영향을 강조하며, Entwistle 및 Burns Lake에서는 각각 전체 고용 소득의 26%와 18%를 제공합니다. Drax의 작업은 고급 제조, 공학 및 운송을 포함한 다양한 분야를 지원합니다. 또한 회사는 지역 제재소의 잔여물과 부산물을 활용하여 폐기물 감소 및 산불 예방에 기여합니다.

Une nouvelle analyse économique de MNP révèle que Drax Group a contribué avec 1 milliard de dollars à l'économie canadienne et a soutenu plus de 3.000 emplois en 2023. Drax exploite 10 usines de pellets en Colombie-Britannique et en Alberta, produisant des pellets de bois biomasse durables pour la production d'énergie renouvelable au Royaume-Uni et en Asie. L'engagement de l'entreprise envers l'approvisionnement local est évident, avec près de 75% des biens et services achetés auprès de fournisseurs provinciaux.

Le rapport souligne l'impact significatif de Drax sur les communautés rurales, fournissant 26% et 18% du revenu d'emploi total à Entwistle et Burns Lake respectivement. Les opérations de Drax soutiennent divers secteurs, y compris la fabrication hautement qualifiée, l'ingénierie et le transport. L'utilisation des résidus et des sous-produits des scieries locales par l'entreprise contribue également à la réduction des déchets et à la prévention des incendies de forêt.

Eine neue wirtschaftliche Analyse von MNP zeigt, dass die Drax Group 1 Milliarde Dollar zur kanadischen Wirtschaft beigetragen hat und im Jahr 2023 über 3.000 Arbeitsplätze unterstützt hat. Drax betreibt 10 Pelletwerke in British Columbia und Alberta und produziert nachhaltige Biomasse-Holzpellets für die erneuerbare Stromerzeugung im Vereinigten Königreich und in Asien. Das Engagement des Unternehmens für lokale Beschaffung ist offensichtlich, da nahezu 75% der Waren und Dienstleistungen von provinziellen Lieferanten bezogen werden.

Der Bericht hebt den signifikanten Einfluss von Drax auf ländliche Gemeinden hervor, indem er 26% und 18% des gesamten Erwerbseinkommens in Entwistle bzw. Burns Lake bereitstellt. Die Betriebe von Drax unterstützen verschiedene Sektoren, darunter hochqualifizierte Produktion, Ingenieurwesen und Transport. Die Nutzung von Rückständen und Nebenprodukten aus lokalen Sägewerken trägt ebenfalls zur Abfallreduzierung und zur Verhinderung von Waldbränden bei.

Positive
  • Contributed $1 billion to the Canadian economy in 2023
  • Supported over 3,000 jobs across Canada
  • Generated $372 million in GDP in 2023
  • Nearly 75% of goods and services sourced from local provincial suppliers
  • Significant employment impact in rural communities (26% in Entwistle, 18% in Burns Lake)
  • Supports waste reduction and wildfire prevention through use of sawmill residuals
Negative
  • None.

Independent analysis illustrates the positive impact of Drax's wood pellet operations and how it helps support more than 3,000 Canadian jobs

VANCOUVER, BC, Sept. 16, 2024 /PRNewswire/ -- A new economic analysis conducted by MNP, one of Canada's leading professional services and research firms, has found that Drax Group contributed $1 billion towards the Canadian economy and supported more than 3,000 jobs in 2023.

Independent analysis illustrates the positive impact of Drax's wood pellet operations

The study measured the economic impact of Drax's Canadian operations, which includes 10 pellet plants across British Columbia and Alberta, producing sustainable biomass wood pellets to generate renewable power in the UK and Asia.

"We take pride in the longstanding role we play in making Canada a renewable energy leader and we are grateful for the many employees, both our own and across our supply chain, for their dedication to building a strong clean energy workforce in communities across Canada," said Liezl van Wyk, Drax's Vice President of Northern Operations. 

The report also showed Drax's commitment to sourcing from local suppliers by purchasing nearly 75% of its goods and services from those based within the respective province of their operations, which further supports local jobs and economies. Of the purchases made from suppliers outside of the province, over 90% are from Canadian businesses.

"Canada has built a robust economy through smart policies supporting domestic production of renewable energy. We will continue to find new and innovative ways to further our sustainability efforts for the benefit of Canada's natural resources," said van Wyk.

The total employment supported by Drax's operations (3,101 jobs) is approximately equivalent to the employment supported by the construction of 1,447 new homes in Canada.

Thousands of jobs are supported by Drax's activities across Canada in a wide range of sectors including high-skilled manufacturing of industrial components, engineering and technical machinery and transportation, many of which are in rural communities.

For example, in the Entwistle and Burns Lake communities where Drax's pellet plants are located, Drax provides 26% and 18% of their total employment income.

"We commend the workers, policymakers and other stakeholders who help ensure energy security and economic growth, particularly during times of international instability," said van Wyk.

Companies such as local sawmills rely on Drax to purchase their residuals and by-products. The use of these materials by Drax also keeps them out of landfills and off forest floors, where they can become fuel for wildfires. The timber, forest and furniture industries, among many others, have been key collaborators in sourcing residuals and waste products for beneficial reuse by Drax.

"Our research demonstrates the economic impact that Drax Group has made to the Canadian economy, with their operations in Canada generating $372 million in GDP in 2023," said Susan Mowbray, Partner at MNP. "We also found that the economic activity generated by Drax's pellet plants, port terminals and corporate offices, has a positive impact on local communities across Canada."

View an executive summary and other highlights from the report here.

About Drax
Drax Group's purpose is to enable a zero carbon, lower cost energy future and in 2019 announced a world-leading ambition to be carbon negative by 2030, using bioenergy with carbon capture and storage (BECCS) technology. Drax's around 3,000 employees operate across three principal areas of activity – electricity generation, electricity sales to business customers and compressed wood pellet production and supply to third parties. For more information, visit http://www.drax.com/ca

About MNP
National in scope and local in focus, MNP is one of Canada's leading professional services firms — proudly serving individuals, businesses, and organizations since 1958. Through the development of strong relationships, MNP provides client-focused accounting, consulting, tax, and digital services. MNP's clients benefit from personalized strategies with a local perspective to fuel success wherever business takes them. For more information, visit www.mnp.ca.

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SOURCE Drax Group

FAQ

How much did Drax Group contribute to the Canadian economy in 2023?

According to the MNP report, Drax Group contributed $1 billion to the Canadian economy in 2023.

How many jobs did Drax support in Canada in 2023?

Drax supported more than 3,000 jobs in Canada in 2023, equivalent to the employment supported by the construction of 1,447 new homes.

What percentage of Drax's goods and services are sourced locally in Canada?

Drax purchases nearly 75% of its goods and services from suppliers based within the respective province of their operations in Canada.

How does Drax's operations impact rural communities in Canada?

Drax provides significant employment income in rural communities, accounting for 26% of total employment income in Entwistle and 18% in Burns Lake.

What environmental benefits do Drax's operations provide in Canada?

Drax's use of sawmill residuals and by-products keeps them out of landfills and off forest floors, reducing waste and potential fuel for wildfires.

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