Octopus Energy Group said it has partnered with China’s PCG Power to create a new company, Bitong Energy, to trade renewable energy across China’s electricity market. The joint venture was announced during UK Prime Minister Keir Starmer’s visit to Beijing in the final week of January.
Bitong Energy will combine PCG Power’s experience in commercial and industrial renewable energy with Octopus Energy’s technology for green energy trading and optimization. The company aims to annually trade up to 140 TWh of renewable power by 2030, with projected profits of around GBP 50 million ($68.7 million) per year, half of which will return to the United Kingdom.
The venture will launch in Guangdong province, China’s leading spot market, and expand nationwide as additional regions open. Octopus Energy said in an online statement that it will deploy its software to optimize the performance of batteries and renewable generation.
China’s electricity demand is expected to rise by about one-third over the next five years, with government mandates requiring at least 10% of electricity to be traded on spot markets this year, according to Octopus Energy.
The China joint venture follows earlier partnerships and capital commitments that have supported the UK energy supplier’s expansion beyond retail supply into energy software and clean energy infrastructure. Recent transactions in Europe and the United Kingdom show that the company aims to combine proprietary technology with institutional capital and industrial partners.
In July 2025, UK workplace pension provider Smart Pension committed GBP 330 million to two clean-energy funds managed by Octopus Energy Generation, targeting renewable energy projects and energy transition technologies in the United Kingdom. The allocation includes financing the United Kingdom’s first investor-funded ground-source heat pump network.
And in September, South Korea’s LG Electronics announced plans to integrate its high-efficiency heat pumps with Octopus Energy’s AI-driven Kraken energy software platform for key European markets, including the United Kingdom and Germany. The collaboration aims to optimize residential heating and cooling by linking heat pumps with Kraken’s grid-responsive controls to reduce energy costs and improve renewable integration.
