INFI.L Share News (INFI)

(ShareCast News) - The UK High Court has ruled against London-listed power generation company Drax and renewable energy firm Infinis Energy, after they urged a review of the government's decision to remove the climate change levy exemption.The companies said the decisions had been made without a "reasonable and proportionate" notice period.The High Court said that while it recognised in the judgment the merits of bringing the case, it has ruled against Drax and Infinis.Drax said on Wednesday that it will now consider the judgment in detail.Chief executive Dorothy Thompson said: "Since their introduction in 2001, CCL exemptions such as Levy Exemption Certificates (LECs) have played a critical role supporting investment in a wide range of renewable technologies."In recognising our right to bring this case, the Court acknowledged that the removal of LECs was sudden and unheralded. However, it concluded that the government had not provided any specific and clear assurances on the continuation of exemptions and accordingly ruled in their favour."In September last year, Drax and Infinis began legal proceedings against the British government, saying it had not given enough notice the climate change tax exemption would be removed.Drax estimated that the removal would cut its core earnings by £30m in 2015 and £60m in 2016.At 1535 GMT, Drax shares were down 0.7% to 227.10p.