Renewable energy supplier Good Energy has struck a deal with a subsidiary of Octopus Energy to use its proprietary Kraken customer service and billing software from 2020.
The transaction is forecast to be worth £4 million and covers an initial three-year implementation and transition agreement and service contract. It marks the first time Octopus’ Kraken platform has been adopted by a rival supplier in the UK.
Good Energy says it expects to recoup the additional expenditure through lower operating costs “within 18 months”.
The Wiltshire-based company says it has seen its customer volume grow by three quarters in the last two financial years and its feed-in tariff generator customer base by 13 per cent over the same period.
It says its investment in Kraken reflects this and will provide “significant scalability and flexibility”.
The Kraken platform is built to handle large data volumes and will support Good Energy’s rollout of future smart products and services.
Juliet Davenport, chief executive and founder, Good Energy, said: “This powerful combination of deep renewables expertise and customer friendly technology will help us to realise our growth ambitions.
“We will provide additional clean energy services to the growing number of homes and businesses who want to harness the power of renewables and clean technology, to make a difference to the quality of their lives and businesses.
“Now the agreement is signed, the next step is a process of data migration and customer experience mapping, with the ambition that we start transferring customers in the new year. We are looking forward with working with the Kraken team and being able to showcase what this technology can do.”
Greg Jackson, chief executive of Octopus Energy Group, said: “Energy is a sector that has been left behind by the digital revolution.
“While technology was transforming e-commerce and banking, the energy industry has been trundling along with outdated technology, poor service and poor value. Kraken Technologies is changing that not just for its customers, but for the world.
“It is vital that energy companies do all they can to look after customers better and speed up the mass adoption of renewable supply, Kraken Technologies and Good Energy coming together will be doing just that.
“This will be the first UK-based application of the Kraken platform outside of Octopus Energy, and we expect to see this shake the rest of the industry in providing excellent customer service and renewable energy as standard.”