Global energy tech business Octopus Energy and CATL, the world’s leading battery manufacturer, have today announced a new joint venture (JV) to accelerate the shift to electric road freight – making moving goods cheaper and greener.
An electric lorry driving into a CATL battery-swapping hub. Image Credit: CATL
Announced at Octopus Energy’s flagship event – The Energy Tech Summit – the partners will build a European network of battery-swapping hubs that allow electric lorries to replace depleted batteries in minutes, eliminating long charge times and removing one of the biggest barriers to decarbonizing heavy transport.
The first UK mega hubs are expected to open in 2027, with more than 30 planned by 2035. Each hub will be capable of servicing thousands of lorries a day.
Once in full operation, the partners believe the network could support 300,000+ electric trucks and unlock over £30 billion of private investment, reducing Europe’s dependence on imported oil and replacing it with homegrown green electricity.
The JV, which will be called ‘Swaptopus’, combines CATL’s world-leading battery technology and extensive swapping-station knowledge, already deployed at scale across China, with Octopus’s pan-European energy supply, flexibility, trading and customer service expertise.
Greg Jackson, CEO and Founder of Octopus Energy Group, said: "Electric trucks already beat diesel on running costs, the challenge is keeping them moving. Battery swapping changes that. Instead of waiting for hours, trucks can be back on the road in minutes.
“By combining Octopus’s software and energy expertise with CATL’s world-class battery technology, we’re making clean freight practical at scale across Europe."
Dr. Robin Zeng, Chairman and CEO of CATL, said: "Battery swapping will be a significant part of the future of commercial transport. We have field-proven this technology in China, and we are delighted to bring it to the UK and Europe as part of our joint venture with Octopus.
“Together, our expertise in battery swapping, B2G (Battery-to-Grid) and energy storage, paired with Octopus’s AI-powered energy trading and management technologies, will speed up the electrification of road transport across the region.”
William Rowe, CEO and Founder of Swaptopus, said: “We believe the future of land based transport is electric and autonomous, and battery swapping is a massive part of the enabling infrastructure. Not only does it significantly reduce down time but since the batteries at the swapping stations can be charged and discharged when the grid needs it, they act as a virtual power plant and in turn lower costs for consumers.”
Alongside electric trucking, Octopus and CATL are also exploring options to scale Vehicle-to-Grid (V2G) technology across CATL’s global network of automotive partners, aiming to turn millions of future electric vehicles into virtual power plants that can feed cheap energy back into the grid during peak demand.