A Gateshead-based company whose energy management app rewards consumers for switching off appliances at peak times has raised £700,000 to roll out a new SaaS platform.
The investment in equiwatt comes from the North East Venture Funds (NEVF), supported by the European Regional Development Fund, and managed by Mercia Ventures and private investors.
The funding will also enable the firm to continue its growth in the run-up to a planned Series A investment round in the year ahead.
The company’s free consumer app can be used by anyone with a smart meter, or with devices such as heat pumps, batteries and electric vehicle chargers that incorporate its technology.
It allows householders to take part in schemes designed to reduce pressure on the grid, and earn points redeemable for gift vouchers or charity donations in return for switching off during peak periods.
The latest funding round is the fifth led by Mercia Ventures and the NEVF, which have backed equiwatt since its inception in 2020.
Since the last investment in August 2023, the EnviroTech has increased the number of consumers using its technology from around 5,000 to 120,000.
It has also achieved a five-fold increase in revenue and is on course for a further four-fold increase in the year ahead.
“Managing domestic energy demand will be crucial to reducing the UK’s reliance on fossil fuel power stations and making the transition to clean energy. We believe equiwatt can play a key role in that,” said Dr Johnson Fernandes, founder and CEO of equiwatt.
“Our app has proved very popular with consumers who appreciate the chance to earn rewards.
“Our new powerResponse platform enables energy suppliers and other businesses to give their customers a chance to participate. This investment will support the roll-out of the platform and our vision to make clean energy affordable and accessible for all.”
Chris McCourt from Mercia Ventures added: “Having backed equiwatt from the very start, it is rewarding to see its rapid expansion.
“Its new platform has attracted strong interest within the industry and pressure from regulators will further drive uptake.
“As equiwatt embarks on the next stage of its growth journey, it has the potential to become a global leader in virtual energy management solutions.”