OVO, the fast-growing Bristol-based energy supplier, has made its first acquisition – a US firm behind pioneering energy technology.
VCharge, which is headquartered near Boston, has developed systems that make transmitting renewable energy more reliable. 
The groundbreaking technology uses advanced algorithms to balance grid requirements with the needs of individual users.
It is already being used to control electric storage heating in social housing, improving comfort for residents and to address the issue of fuel poverty in local communities. At the same time it is supporting wider use of renewable energy by providing valuable grid balancing services.
VCharge heating controls are fitted to new or existing electric storage heaters and can be controlled via a smartphone. VCharge said when coupled with a new smart tariff, residents experience dramatically improved comfort, lower bills and have control over their heating systems for the first time.
VCharge has completed successful trials of the technology over the last year with major social housing landlords in London, Scotland and the North East. OVO will now use the technology to begin offer free heating control upgrades combined with a new smart energy tariff to the 1.5m UK households with electric storage heaters later this year.
OVO said the acquisition, the first in its seven-year history, underlined its focus on developing systems that harness the disruptive power of technology to solve the problems facing the energy industry for the benefit of its customers. Financial details of the deal have not been disclosed.
OVO CEO Stephen Fitzpatrick said: “I’m thrilled to bring VCharge into the OVO family. The team have been doing incredibly exciting and important work in developing technologies that answer the enormous challenge of how to bring more renewable energy to grids around the world.
“We believe this platform will harness the potential of energy storage in reducing dependency on fossil fuels, while helping to make energy more affordable for all.”
VCharge managing director Toby Ferenczi said: “VCharge’s vision is to help electricity grids around the world with the transition to becoming 100% renewable, as the cost of renewable energy becomes more competitive with that of unsustainable fossil fuels.
“Joining forces with OVO will dramatically accelerate how quickly we can achieve this goal, and will also enable us to address other important issues such as alleviating fuel poverty in the UK.”
OVO Energy was formed seven years ago as a small, independent UK gas and electricity supplier based in Cirencester.
Today it has nearly 700,000 customers – giving it 2.4% share of the UK domestic energy retail market – and employs 1,000 people – 900 in Bristol and 100 in London.
