The global renewable energy retailer Octopus Energy launched the US’s first-ever Fan Club, a unique electricity rate that provides savings when local wind turbines are spinning. When there is high wind power accounting for 45 percent or more of the Texas grid’s generation during a given period, customers will receive a 50 percent discount on their energy costs. Starting with South Texas, where wind energy is abundant along the coast, customers can sign up to join the Fan Club.
Historically, renewables have been associated with premium prices, but with the Fan Club, Octopus Energy establishes a direct link between renewable energy production and lower costs for consumers. By encouraging customers to follow pricing signals, Octopus Energy is promoting more extremely low cost renewable energy to come online.
“Legacy energy companies constantly think that the solution to a renewable energy grid is more fossil fuel supply,” said Michael Lee, CEO of Octopus Energy US. “Instead, we’re developing a new grid that puts customers and renewables at the center of innovation. Through the Fan Club, we have the opportunity to harness incredibly low-cost electrons that come from renewables and financially reward everyday consumers to shift their usage to periods of energy abundance. This strategy both lowers customer bills and strengthens grid stability. As other states implement large-scale solar and wind buildouts, this can serve as a model for how consumers can be financially rewarded in the energy transition, provided regulators allow us to introduce this innovation to their regions.”
Powered by Kraken, Octopus Energy’s proprietary cloud-based energy technology platform, the Fan Club will first be available to customers in South Texas (McAllen, Brownsville, Harlingen, Edinburg, and South Padre Island) while residents across the rest of Texas can sign up for the waitlist. Though this is the first Fan Club in the US, Octopus Energy Group has similar, successful programs in the UK, where customers are able to access cheaper 100 percent renewable electricity during periods of peak wind production.
This is Octopus Energy’s latest initiative to enable a smarter, greener future across the US. Earlier this year, Octopus Energy US launched Intelligent Octopus for EV, a smart rate for EV drivers to save up to 20 percent on monthly energy bills by charging when electricity is cheaper, along with a program for customers to integrate household batteries into their energy plans, creating a Virtual Power Plant and further reduce the energy rates customers pay.
