Octopus Energy expands into Japan with Tokyo Gas partnership
Octopus Energy has partnered with Tokyo gas in a move that establishes Octopus’s presence in Asia.
The agreement will see Octopus Energy and Tokyo Gas launch the Octopus Energy brand in Japan, operated by TG Octopus Energy.
Tokyo will act as a launchpad for Octopus’s expansion across the region.
Octopus Energy in Japan will provide 100 per cent renewable electricity. Japanese renewables lag the UK by 50 per cent, with renewables in Japan in 2019 accounted for 18.9 per cent of electricity vs 37.9 per cent in the UK.
Octopus Energy founder and CEO Greg Jackson said: “This joint venture will bring our exciting approach to renewable energy and technology to the world’s largest competitive energy market, and the investment will turbocharge our mission to revolutionise energy globally.”
The deal sees Tokyo Gas take a $£200m, 9.7 per cent equity stake in Octopus. The new joint venture values Octopus at $2.1bn.
Earlier this year Origin Energy invested $200m, and recently an additional $50m in Octopus, and since then the renewable energy firm has launched in the USA and Germany, and acquired Upside Energy, which specialises in smart grid technology.
Octopus’s technology platform ‘Kraken’ will be licensed by the joint venture to deliver energy solutions to Japanese households.
Kraken is already contracted to serve 17 million energy accounts worldwide through Octopus’s own retail businesses, plus agreements with Good Energy, Hanwha Corporation, Origin Energy, nPower and E.ON.