DRAX Power has increased profits by £36 million, the business said in its half year results to June 30.

It also renewed calls on the Government to provide more support for biomass, which it said would enable the amount of biomass it burns.

Dorothy Thompson, chief executive of Drax, said: "We have delivered an excellent performance across the business in the first half of 2011. Having entered the year with strong forward sales, and having continued to operate the plant well, we have produced good financial results for the period.

"Drax generated around 6 per cent of the UK's renewable power in the first half of 2011; double the renewable output of any other facility. Biomass burnt at Drax delivers carbon footprint savings of over 50 per cent compared to a typical gas-fired generating plant. However, we continue to operate at less than our installed renewable capacity because of the current low level of regulatory support for electricity produced by burning sustainable biomass instead of coal.

"We welcome the recent publication of the Government's Renewable Energy Roadmap and we are encouraged by the recognition that burning biomass in place of coal, in facilities like Drax, is one of the most cost effective means of producing renewable electricity and could provide a third or more of the UK's required renewable power by 2020.

"Drax stands ready to transform into a predominantly renewable generator, but to do so we will need an appropriate level of support under the renewables incentive mechanism. To that end, we look forward to the timely conclusion and implementation of the Government's current review to determine the correct levels of support."

She warned that profitability would be lower in the second half of 2011, because the business would not benefit from the high margins, sold in advance, which it had during the first half of the year.

In April received £180 million in cash tax relief after negotiations with HM Revenue and Customs over Eurobonds, which has enabled the business to release £135 million of previously ring fenced cash to the business as at 30 June 2011, with a further £45 million to follow over the coming years.

Total revenue increased from £780.6 million during the first half of 2010, to £866.3 million, and the board agreed to pay dividends of 16 pence per share, about £58 million, to shareholders.