Investing with certainty into the energy transition requires consideration of a large number of highly dynamic technical, physical, financial and market considerations. Previously, companies looking to make these investments had to depend on an array of specialist tools, spreadsheets and expensive consultants. However, none of the approaches were capable of handling the complexity of today’s energy projects, leading to slower, higher risk investment decisions that were opaque and prone to error.
With Gridcog, companies get a holistic view of their energy resources, including solar, wind, battery storage, EV fleets and charging infrastructure, and flexible loads, across multiple sites and multiple energy markets.
Accelerates energy transition
Now, Gridcog has secured a £3.3 million investment led by an early-stage tech investor, AlbionVC, which previously invested in Ophelos and Mondra. On the sidelines of this investment, Pete Tickler, co-founder and Head of Product at Gridcog shared with TFN.
Gridcog will use the funding to further its mission to accelerate the energy transition across the UK and Europe by making clean energy investments more transparent, efficient, and commercially viable. Also, the funding will see Gridcog double-down on its expansion across these fast-growing regions.
Regarding the acceleration of the energy transition across the UK and Europe, Pete said, “Over the next few years trillions of dollars globally need to be invested into decarbonising and electrifying our energy systems – turning off fossil fuels, turning on renewables and at the same time electrifying transport and heating systems – if we’re to come anywhere close to delivering on emissions reduction pledges and hence limiting climate change. A very significant chunk of that investment needs to occur in Europe.”
Clean energy mission
Gridcog was founded in 2020 by repeat EnergyTech founders Pete Tickler and Fabian Le Gay Brereton. Genna Boyle heads its UK and European operations. The founders met at a technology-focused consulting firm in Perth, Australia, back in 2006. We were both involved in projects heavily focussed on mining and oil and gas, both big parts of the Australian economy.
Pete stated, “In 2008 we left to start our first technology business together, an energy and carbon monitoring and reporting platform for large commercial energy users. We sold that business in 2016 to a large energy supplier in Australia and for some time ran digital innovation for that business. During that time we learned a huge amount about how energy markets and trading work; previously we’d focussed on the demand side of the energy market; this was all about supply. It was the combined experience of trying to help energy users decarbonise, coupled with this new understanding of how energy suppliers and traders view and value their customers changing energy patterns. The realisation was that both sides of this relationship wanted to make commercially viable investments into the energy transition but there was a lack of tooling to allow them to make these investments with confidence…so, Gridcog was born.”
It aims to achieve a decarbonised and decentralised energy future. The platform helps users assess how existing solutions are performing, simulate the impact of market and project changes. Gridcog helps firms quickly, transparently, and accurately model and test the most economically viable solutions for even the most complex projects, across the entire energy value chain.
Its software is used by some of the world’s leading energy and fleet electrification players, including Shell and Origin Energy, Mitie, Mitsubishi Heavy Industries, and EY.
In the past year, revenue from UK/Europe customers has increased six-fold and over 60% of Gridcog’s inbound leads are from the region. Also, Gridcog works with companies across Australia, New Zealand and Japan.
Commenting on their diversity, he said, “The current team size is 19 with a 45:55 (F:M) gender mix and we aim to finish the year at about 30. We come from a diverse range of backgrounds and geographies; currently, we have 7 different nationalities represented.”
Competition
Commenting on the competition, Pete added, “In many cases the alternative for a client is an internal data science or modelling team, or a consultant with their own team of analysts, often using Excel. Several digital tools support energy investments and these are typically focussed on a thin slice of the overall project design, for example, to forecast the yield a solar farm might generate over a typical year. But commercial decision-making requires a complete techno-economic view of that project, simplistically: So what if my solar system will generate X MWh of energy, what’s that going to be worth to me given things like network constraints, market prices and contractual arrangements?”
He stated that Gridcog brings those two worlds together and is the only software platform that allows investors across the energy value chain to design and optimise the physical and financial design of their project at the same time.
“The common thread between all our clients is a desire to invest into the energy transition. They want to play a role in building a more sustainable energy future, yet are facing hurdles at almost every turn. Exactly what assets they’re investing in vary – from large-scale solar and storage to EV fast-charging networks –but the problem is the same: with hundreds of ways a project could be developed, which one is best? Identifying the winning play requires sophisticated techno-economic modeling which only Gridcog provides, while also removing the complexity, costs and confusion around these investments,” Pete Tickler, Co-founder, Gridcog.
“The energy transition is a truly global revolution and Gridcog has always been committed to that global mission. Driven by climate change and renewed commitment to transition away from fossil fuels at the recent COP28 conference, the world is switching to solar, wind and batteries for electricity generation, whilst transport, heat and chemical processes are being electrified. This makes the energy transition the biggest and fastest infrastructure replacement project in history, and Gridcog is here to help achieve it,” explained Gridcog co-founder and CEO, Fabian Le Gay Brereton.
Genna Boyle, Director UK and Europe, added: “Energy projects are much more complicated than many people realise, particularly when you have multiple technologies interacting with dynamic energy markets, and our simulation and optimisation technology helps the leaders investing in the transition to navigate this complexity.”
Adam Chirkowski, Investment Director AlbionVC said: ”Gridcog’s technology is a game-changer, essential for accelerating investment into clean energy projects, especially when traditional tools fall short in addressing the increasing technical and commercial complexities of energy project investment. We are excited to support the Gridcog team as they look to build a category leader addressing the biggest challenge of our time.”
