Wood and biomass plant operated by RWE Power in Berlin-Neukölln, Germany. April 10, 2011.- Credit: Hannob / Wikimedia Commons - License: CC-0

Police investigating energy company RWE due to false sustainability, fraud allegations

The police are investigating a report by the Clean Air Committee against energy supplier RWE, a spokesperson has confirmed after it was reported in the NRC and Zembla. The environmental organization accuses RWE of breaking European sustainability rules for the import of biomass and committing fraud using environmental subsidies.

One source who is involved with the police investigation told Zembla that there are “strong indications” that there are discrepancies in the energy company’s administration.

A police spokesperson confirmed on Thursday evening that this is the “preliminary conclusion” of the investigation, which is still ongoing. He emphasized that the Public Prosecution Service (OM) still needs to look into the case and judge whether a crime has been committed.

The case centers on Malaysian wood chips that are imported for use as biomass fuel at RWE's power plants in the Netherlands. The company receives subsidies for this because biomass counts as sustainable energy under certain conditions. But the Clean Air Committee claims that the wood being used is from deforested areas and is being used as waste or scrap wood.

Zembla and NRC reported that the Netherlands Food and Consumer Product Safety Authority (NVWA) is investigating the issues at RWE. However, the authority is not sharing any information regarding specific companies.

RWE told Zembla that, since January 1, it has expanded the types of wood it uses to produce biomass energy. In addition to wood residues, the company now also burns “other woody raw materials,” including whole trees sourced from sustainably managed forests and plantations.

The company said that they are not using wood from old forests and that all raw materials that RWE purchases meet the sustainability requirements. “We take any reports of irregularities in these processes very seriously and will also bring this up with the supply chain when it is necessary,” the energy company said.