Octopus Energy Invests Nearly $1 Billion In California Clean Tech, Supporting Carbon Removal, Heat Batteries, And Solar Projects To Drive Global Energy Transition

Octopus Energy Generation, one of Europe’s leading investors in renewable energy, is expanding its presence in California with a significant investment of nearly $1 billion in the state’s clean technology sector. This move strengthens Octopus’s position in one of the world’s most advanced markets for sustainable energy and reflects its commitment to accelerating the global energy transition.

Through its investment funds, Octopus will support two California-based carbon removal companies that are developing innovative approaches to environmental restoration. These companies are focused on grassland restoration and reforestation, transforming degraded land into high-quality carbon-absorbing assets. Several major technology companies have already committed to purchasing the carbon credits generated by these initiatives, demonstrating the growing demand for reliable carbon removal solutions.

The investment will also be directed toward heat battery technology, which is designed to decarbonize industries that are traditionally difficult to electrify. Developed in the Bay Area, this technology enables companies to replace fossil-fuel-based boilers with systems powered entirely by renewable energy, offering a practical solution for reducing industrial emissions.

In addition to supporting emerging technologies, Octopus plans to acquire a solar and battery project in California. The project will convert the state’s abundant sunlight into clean, affordable electricity and is expected to be fully operational by July 2026. This effort aligns with Octopus’s broader strategy to invest in sustainable energy infrastructure across the United States. This announcement builds on Octopus’s previous investments in U.S. clean energy projects. The company has set a goal of deploying a total of $2 billion in the American energy sector by 2030, further solidifying its commitment to supporting the transition to a low-carbon economy.

Both the United Kingdom and California are recognized as leaders in clean energy development. In 2024, the UK’s clean energy sector grew three times faster than its overall economy. California is experiencing similar momentum, with more than half a million people employed in the green sector and the state creating four times as many clean energy jobs as in all other industries. Currently, California generates more than two-thirds of its electricity from renewable sources and aims to achieve 100 percent clean energy by 2045, making it the world’s largest economy to reach such a milestone.

Zoisa North-Bond, CEO of Octopus Energy Generation, said that the company and California are both driving innovation in clean energy. She emphasized that supportive policies and a strong culture of entrepreneurship in and around Silicon Valley make California an ideal location for long-term investment partnerships that benefit both the U.S. and the UK. She added that Octopus is excited to expand internationally, supporting the growing U.S. clean technology sector while generating innovation, economic growth, and returns for stakeholders in the UK.

This investment is part of Octopus’s ongoing mission to accelerate the global energy transition and support a zero-carbon future. It follows other North American projects, including investments in the floating offshore wind company Ocergy and solar farms in Ohio and Pennsylvania. Through its U.S. operations, Octopus already provides renewable electricity to thousands of homes in Texas, delivering clean energy alongside smart and cost-effective tariffs. The announcement was made during the Governor of California’s visit to Octopus’s headquarters in London, highlighting the importance of international collaboration in the transition to clean energy.