Masdar, a global leader in clean energy, and Octopus Energy, an innovative global energy technology company, have signed two Memoranda of Understanding (MOUs) to advance initiatives in the UK and Africa.
Masdar and Octopus will collaborate to unlock hidden capacity across the UK’s distribution network to power the next generation of data centers. The agreements were signed during Abu Dhabi Sustainability Week in the UAE.
The UK is facing a severe grid connection bottleneck, with renewable projects waiting years to connect just as electricity demand surges. Data centers, in particular, require vast amounts of power that can take years to secure.
Masdar and Octopus aim to address this challenge by identifying unused capacity within the UK’s distribution network and building smart, local energy systems around it. By combining on-site solar, battery storage and flexible grid connections, data centers can access power much sooner, avoiding lengthy delays.
Octopus’s Kraken-powered optimization technology will manage on-site generation, batteries and grid supply in real time, ensuring reliable power for energy-intensive AI workloads while reducing costs by shifting demand to lower-priced periods. Under a second MoU, the companies will also partner to scale clean energy across Africa, leveraging the continent’s abundant solar and wind resources for commercial and industrial users.
The collaboration will deliver local grids and distributed energy systems to support jobs, productivity and industrial growth, tackling chronic underinvestment in grid infrastructure and system integration. Initial projects will launch in South Africa, with plans to expand to other countries.
Mohamed Jameel Al Ramahi CEO – Masdar
“Masdar and Octopus Energy share a commitment to overcoming challenges, expanding access to renewable energy, and powering progress across the globe. Through these agreements, we continue to reimagine the potential of renewables in the AI era, while also bringing much-needed clean energy to communities and businesses across Africa. We look forward to extending our partnership with Octopus Energy and transforming the energy market in the UK and in Africa.”
Greg Jackson, Founder and CEO of Octopus Energy, stated that, “This is a huge partnership and exactly what we need to move faster. Masdar is world-class in its vision and capabilities, and like us they’re focused on finding ways for renewables to deliver real value to countries and citizens. This is about delivering projects that make energy cheaper, cleaner, and unlock real opportunities for businesses and industry.”
Masdar is targeting collaboration with Octopus through its Power Africa Initiative, part of Global Citizen’s Scaling Up Renewables in Africa campaign. The initiative aims to catalyse $450 million in investment across clean energy solutions, including grids, distributed assets and technologies that deliver power directly to homes and businesses, strengthening African economies.
In 2023, Masdar also signed a framework agreement to license Octopus’s Kraken technology platform to flexibly manage its UK battery storage portfolio.
