ARENA invests in new renewable-focused energy retailer
A new energy retailer is entering the Australian market and pioneering a groundbreaking business model. It will empower consumers to reduce their power usage and potentially use more renewable energy.
The Australian Renewable Energy Agency (ARENA) and SBCVC have backed a $5 million Southern Cross Renewable Energy Fund investment into Mojo Power.
ARENA CEO Ivor Frischknecht said Mojo was a home-grown Australian business and the world’s first energy retailer which doesn’t rely on selling more power for more profit.
“Mojo supplies electricity to its customers at cost and charges a fixed monthly fee. This allows Mojo to focus on working with customers to unlock cheaper energy bills through solar, storage and energy efficiency,” Frischknecht said.
“Australians have embraced residential solar in big way, with a world-leading 20% of households so far installing panels on their roofs.
“Using state-of-the-art smart metering technology, Mojo will be able to analyze customer usage data with a view to optimizing energy use and demonstrating how households could benefit from renewable energy technologies.
“Customers will be readily able to access more information about their energy usage and will be better placed to take the steps needed to run smarter homes.
“If Mojo successfully taps into the Australian market, it could encourage even more households to invest in solar, which in turn will help drive down costs. It also has the potential to accelerate the growth of Australia’s emerging battery storage industry as consumers look for more value from their rooftop systems.”
The funding will help Mojo with market-entry and business expansion activities.
Mojo founders CEO James Myatt and CFO Darren Miller bring a wealth of experience in energy retailing and renewable energy financing to the table. The company has a license to operate in the National Electricity Market and is ready to sign up households.
“Mojo’s model is a real game changer and it will benefit those households that currently face high electricity bills. We are absolutely aligned with their primary objective, which is to pay less for the electricity they need,” Myatt said.
Drax advances biomass strategy with Pinnacle acquisition
The Group’s enlarged supply chain will have access to 4.9 million tonnes of operational capacity from 2022. Of this total, 2.9 million tonnes are available for Drax’s self-supply requirements in 2022, which will rise to 3.4 million tonnes in 2027.
The £424 million acquisition of the Canadian biomass pellet producer supports Drax' ambition to be carbon negative by 2030, using bioenergy with carbon capture and storage (BECCS) and will make a "significant contribution" in the UK cutting emissions by 78% by 2035 (click here).
This summer Drax will undertake maintenance on its CfD(2) biomass unit, including a high-pressure turbine upgrade to reduce maintenance costs and improve thermal efficiency, contributing to lower generation costs for Drax Power Station.
In March, Drax secured Capacity Market agreements for its hydro and pumped storage assets worth around £10 million for delivery October 2024-September 2025.
The limitations on BECCS are not technology but supply, with every gigatonne of CO2 stored per year requiring approximately 30-40 million hectares of BECCS feedstock, according to the Global CCS Institute. Nonetheless, BECCS should be seen as an essential complement to the required, wide-scale deployment of CCS to meet climate change targets, it concludes.