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.

British power generator Drax could invest up to $12.5 billion developing biomass plants with carbon capture and storage (BECCS) in the United States over the next decade, it said on Tuesday.

Drax plans to invest $12.5B in U.S. biomass power plants with carbon capture tech, taking advantage of U.S. subsidies through the Inflation Reduction Act.