The agreement aims to create stronger links between the UK’s fast-growing clean energy sector and the Californian market, opening new export opportunities and supporting skilled jobs across the UK…reports Asian Lite News
Representatives from the United Kingdom and California have signed a new agreement in London, building on decades of collaboration in climate action and clean energy. The Memorandum of Understanding (MoU), signed by UK Energy Secretary Ed Miliband and California Governor Gavin Newsom, establishes a refreshed framework to drive innovation, scale up clean energy technologies, and strengthen connections between businesses and researchers across both economies.
Ed Miliband said the government’s clean energy mission is “about taking back control of our energy to cut bills, create jobs, and tackle the climate crisis.” He added that “strong international partnerships like today’s announcement with the State of California strengthen opportunities for UK businesses and secure investment for our country.”
The agreement aims to create stronger links between the UK’s fast-growing clean energy sector and the Californian market, opening new export opportunities and supporting skilled jobs across the UK. It also provides a platform for British businesses to compete and expand, with companies such as Octopus Energy already establishing operations on the West Coast.
The partnership commits both governments to share expertise on protecting biodiversity and building resilience against extreme weather events, helping safeguard homes, public services, and local economies from the impacts of climate change. The MoU also strengthens cooperation on clean energy, climate, and environmental policy to accelerate the rollout of technologies that can lower household bills, reduce exposure to volatile fossil fuel markets, and protect natural ecosystems.
This agreement builds on other MoUs signed by the UK aimed at promoting economic collaboration with 11 other US states, including Washington and Florida, further cementing the UK’s transatlantic clean energy network.
The clean energy markets in the UK and California are expanding rapidly. According to the Confederation of British Industry (CBI), the UK’s net-zero economy grew three times faster than the overall economy in 2024. Similarly, California has seen a surge in clean energy employment, with three times as many jobs created in the sector compared to the rest of the state’s economy. Both regions share ambitious energy and climate targets and have a long history of policy collaboration.
Governor Gavin Newsom highlighted California’s investment climate, saying, “California is the best place in America to invest in a clean economy because we set clear goals and we deliver.” He noted that the strengthened partnership with the UK also brings nearly a billion dollars in clean technology investment from Octopus Energy.
The agreement offers significant growth opportunities for British businesses seeking to expand into the US market. Nick Chaset, CEO of Octopus Energy US, described the MoU as a catalyst for innovation and market access. “As a British tech business and investor growing in the US, this MoU opens up opportunities to bring our smart technology to California, cutting energy bills and improving the customer experience,” he said.
Chaset highlighted ongoing projects in collaboration with Southern California Edison, where the Octopus Shift app enables electric vehicles and home batteries to support the grid. The technology provides customers with greater control over when and how they use energy, while also enhancing grid reliability and efficiency.
The UK-California MoU demonstrates the growing importance of international collaboration in the clean energy sector. By linking expertise, technology, and investment between the two regions, the agreement aims to accelerate the transition to low-carbon economies, foster economic growth, and tackle the climate crisis more effectively.
For British businesses, the partnership offers a clear pathway to scale innovative solutions, enter new markets, and contribute to the global effort to reduce emissions. For policymakers, it reinforces the value of transatlantic cooperation, knowledge exchange, and coordinated investment in clean energy infrastructure.
Overall, the MoU reflects the shared ambition of the UK and California to lead on climate action and clean technology, combining regulatory support, market opportunities, and strategic collaboration to drive sustainable growth for both economies.
