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Smashing the 'green tech costs more' myth: An interview with Octopus Energy co-founder James Eddison

Green credentials don’t need to cost the earth

In this era of social media and physical activism, going green is seen as increasingly important to a brand's reputation. Some just pay lip service: they set a carbon-neutral target at a distant date in the future, or say their supply chain is ‘under review'. But others go further and take steps to drive real, industry-wide change.

How does this impact IT leaders? It might be tempting to say ‘not much' - after all, where do code and climate meet? On top of that, the disconnect between business and IT is long-standing and well-known. But since the coronavirus pandemic, tech professionals have found they have more influence than they used to over important issues, like these, facing their organisations.

James Eddison, CTO and co-founder of Octopus Energy, says sustainability "definitely" matters to tech leaders - not only for the warm glow of doing the right thing, but for actual business benefits, too.

"Of course, we vet our suppliers very thoroughly to make sure that all the technology we use is sustainably sourced; but what's more important is that technology and software can automate, innovate and speed up processes, unlocking efficiencies that will help to run a business more sustainably and bring down costs."

Most CIOs still give costs a higher importance than climate credentials when it comes to choosing suppliers, but Eddison is keen to stress that it's not an either/or situation.

"Planet vs profits and the expensive nature of the green option is a tired notion that we are actively proving wrong with our technology. By creating innovative, forward-thinking tech solutions and disrupting a sector that has become bloated and expensive, we've been able to make green energy affordable while also providing world-class customer service."

Disrupting for good

Eddison classifies Octopus as "a tech company in the energy industry" - and, much like other tech companies, they've managed to disrupt a long-standing sector.

Founded in 2016, Octopus Energy supplies 100 per cent renewable energy to its customers - more than 2.2 million homes across the UK - and uses technology to support the transformation to net zero.

"We were tired of seeing customers being ripped off, and hearing excuses for why green energy had to come at a premium when we knew that with the right technologies, green energy would be affordable for everyone and there would be no loss in customer care."

The key part of Octopus' proposition is its proprietary platform, Kraken. "Kraken is the core of our business and allows us to unlock efficiencies that have never been seen before in the energy industry - so much so that now many other players in the market want to use it. We've already licensed it to large energy companies like E.ON UK, Good Energy and Origin Energy in Australia."

Thanks to those licensing deals, Kraken is now contracted to serve 17 million accounts worldwide, and the expansion continues: Octopus hopes to reach 100 million by 2027.

Looking beyond code

Many technologists think their job starts and ends with the tech stack. This responsibility is wide-ranging and important, but there is more any IT leader can and should do.

A move towards sustainability starts with culture; the desire to do better needs to be pervasive. Managers, especially at the C-level, are instrumental to supporting this.

"We're usually told change starts from the top down, but if you make sure people feel the right to speak up from the moment they join, change can start from anywhere. We've used Slack to achieve a flat company structure, and sell the mission of the company to new colleagues who started a couple of weeks ago, who in turn can suggest changes, tell ideas and help hold the senior management accountable to the vision."

A vision, goal or ethos - whatever you want to call it - shared by the whole company is a powerful motivating force, helping to break down barriers and siloes - much like a DevOps approach. Eddison says his role is to support Octopus' goal with technology.

"My role [as CTO] is to keep that purpose clear whilst allowing the space and freedom to deliver technical excellence. The combination of truly working together and high quality technology enables us to achieve those company goals of better looking after customers and lowering our carbon intensity."

Octopus works directly in the clean energy space, but that's not necessary to have an impact on climate change. Every IT and business leader can and must take a hand in this important topic - with IT's increased influence post-pandemic, there's never been a better time to push for change.

Octopus will run a tech internship programme later this year, from 8th July - 3rd September, to promote Black representation in the energy industry. The Octopus Energy Equality Internship is open to candidates who have a Black, African or Caribbean background, and is being launched as part of the Octopus Energy Equality Fund.

We live in a time of unprecedented change for both lives, business and the planet and it's never been more important for everyone step up and do their part. Join us on the 14th October for Computing's first ever Tech Impact event, where CIOs and other IT leaders will come together to talk about the importance of embracing change, rather than hiding from it. We'll hear about the road to net zero, going green in your data centre and supply chain, and looking at small changes with a big impact. Register now.

Smashing the 'green tech costs more' myth: An interview with Octopus Energy co-founder James Eddison

Green credentials don’t need to cost the earth

Disrupting for good

Looking beyond code

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