British energy giant Octopus launches investment fund to power Asia with cheap, clean energy
- Octopus Energy unveils its new Asia Electrification Fund at the COP31 UN climate summit in Turkey, aiming to catalyse $600m for clean energy projects
- Already backed by $50 million (USD 34 million) from Japanese investors
- First investment is in the Philippines, with solar and battery projects that could power more than 300,000 homes by 2030
- Latest step in Octopus’ wider Asia renewables strategy, following investments in Japan & South Korea
The Octopus Asia Electrification Fund (OAEF) will invest in local green energy developers to help them build out large numbers of clean energy projects. It is managed by Octopus’ generation arm which has over $11 bllion renewables projects globally.
Octopus aims to catalyse $600 million from institutional investors to get these projects built, helping cut reliance on expensive fossil fuels and protect customers from energy price shocks. The Fund is already backed by $50 million from Japanese investors.
Announced at COP31 in Antalya, Turkey, the Fund’s first investment is in Octali Energy Development, a solar and storage developer based in Manila – marking Octopus’ first move into the Philippines.
Working with Octali’s experienced team on-the-ground, Octopus will help develop their targeted 450 MW of solar and 350 MWh of battery storage. These projects could generate enough clean electricity to power more than 300,000 Philippine homes every year by 2030.
This comes as polluting coal still makes up more than 60% of the country’s electricity, while 98% of its oil imports are from the Middle East.
The Iran war exposed many South East Asian countries’ reliance on imported fossil fuels. With the region’s energy demand soaring, renewables could help meet this demand and boost energy security.
As well as the Philippines, the fund will target opportunities in markets including Japan, South Korea, Singapore, Indonesia, Thailand, Malaysia and Vietnam. Alongside solar, onshore wind and storage, it will also explore microgrids, electric vehicle charging and other energy transition technology.
The launch is the latest step in Octopus Energy Generation’s wider Asia strategy with its Singapore-based team. It already manages 2 GW of clean energy projects in development in Asia. These include deals with solar developers Yotsuya Energy in Japan and Skygreen Energy in South Korea, and offshore wind developer Deep Wind Offshore with projects in South Korea.
Zoisa North-Bond, CEO of Octopus Energy Generation, said: “Asia is at the heart of the global energy transition. Demand for electricity is soaring, and countries across the region want cheaper, homegrown power so families and businesses aren’t at the mercy of volatile fossil fuel prices.
“Our first investment in the Philippines is an exciting step. We’re now combining our experience in renewable energy across the region with capital to help ambitious local developers scale, bring more clean power to consumers, and help build Asia’s clean energy future.”
Reindustrialisation Minister Blair McDougall said: “It’s fantastic to see British companies like Octopus leading the way around the world, unlocking hundreds of millions in investment in clean energy and creating new opportunities in fast-growing markets across Asia.
“This is what our Modern Industrial Strategy is all about: British expertise and ambition going global, supporting good jobs and growth at home while helping our partners build cleaner, more secure energy and driving cutting-edge new technologies.”
The Octopus Asia Electrification Fund (OAEF) is also an Article 9 fund as defined by the EU’s Sustainable Finance Disclosure Regulation (SFDR), which means that making a positive impact is at its core.
Sources:
*Philippines coal consumption and production data, IEA
**The global energy crisis is foremost an Asian energy crisis and it needs an Asian response, World Economic Forum, July 2026
***Electrification and diversification can help address Southeast Asia’s growing energy security challenges, IEA, October 2026