Octopus Energy Generation is investing nearly $1bn in California’s next generation clean technology by backing two carbon removal companies using grassland restoration and reforestation to transform degraded land into carbon-absorbing assets.

The funding will also invest in heat batteries to fast-track the decarbonisation of hard-to-electrify industries and used to acquire a solar and battery project.

The company is now aiming to deploy a total $2bn in US clean infrastructure by 2030, and California is central to that, already generating more than two-thirds of its electricity from clean sources and with ambitions to be the world’s largest economy to reach 100 per cent renewal energy by 2045.

Zoisa North-Bond, CEO at Octopus Energy Generation, said: “Octopus and California are both leading the way in clean energy innovation. With supportive policy and world-class entrepreneurship in and around Silicon Valley, it’s an ideal place to back long-term investment partnerships that will benefit the UK economy.”

The investment marks the latest step in Octopus’s mission to accelerate the global energy transition and follows a string of deals across North America, including investments in floating offshore wind company Ocergy and solar farms in Ohio and Pennsylvania.

The announcement was made as Gavin Newsom, the Governor of California, visited to the Octopus Headquarters in London.

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