UK renewable energy startup tem. raises £2.5m to transform the broken energy market

tem., the UK-based startup taking aim at the systemic failings of the energy sector by reimagining how renewable energy is bought and sold, has secured a £2.5 million seed funding round, led by Europe’s most experienced B2B investor, AlbionVC. Purpose-driven tech fund, Revent as well as leading fintech angel, Christian Deger (Payworks founder and CEO) also participated. The funds raised will be spent on expanding the team, improving the product and opening up the currently oversubscribed platform to many more customers in 2023. 

Joe McDonald, Founder and CEO, tem.: "We're thrilled to have secured this investment from such well-regarded investors, which will allow us to expand our team, accelerate the development of our technology and bring it to even more customers throughout 2023. With their support, we're looking to make a significant, sustainable impact on the energy markets and build a platform  for renewable commodity transactions globally, replacing the outdated energy trading companies and helping our customers to reduce their carbon footprint while saving money on their energy bills."

tem. is addressing one of the most pressing needs of energy generators and buyers today; automatically matching supply with demand. Its AI-driven platform identifies the best possible matches between businesses and renewable energy generators. It then fully manages the end to end transaction between all parties directly rather than going through traditional markets. 

This means, for the first time, businesses of all shapes and sizes, not just big corporations, can bypass inefficient utilities and purchase energy based on their unique needs. Thus democratising greater access to true, traceable, renewable energy, while cutting transaction costs by up to 10x. With tem. SMBs get cheaper and greener energy simply as they would from a traditional utility, whilst energy producers get transparently more money in return . 

Until tem. businesses have had no viable alternative to buying and selling energy. The sector is set up to favour traditional energy companies and there’s been little incentive to disrupt this status quo. Yet with spiralling energy prices and rising climate change, the inequity and inefficiencies have been thrust into the spotlight. This, coupled with the continued rise of renewable generation globally, means there is now real opportunity and impetus to democratise access in order to fix the broken system. 

As has been demonstrated by tem.’s early traction. Having only launched its MVP in October 2022, tem. has already transacted more than £10 million in energy transactions in the UK alone, securing its customers better, fairer prices with a significantly enhanced customer experience.

tem.’s ultimate aim is to unlock direct, traceable, renewable energy at improved prices for all socially minded organisations with the potential to unlock $1Tn in direct renewable energy transactions globally and save 390m tonnes of additional CO2 by 2030 through faster adoption of renewable generation worldwide.

Having played leading roles in the growth and exit of Limejump – an energy tech startup acquired by Shell in 2019, the four tem. founders possess a rare combination of energy markets experience, software development and FinTech expertise which leaves the company uniquely positioned to take advantage of the substantial opportunity in front of it.

Adam Chirkowski, Investment Director, AlbionVC: "similar to when FinTechs overhauled an industry that was crying out for modernisation, tem. has the opportunity to disrupt one of the largest global markets and ensure renewable generation does not fall into the same antiquated energy system as fossil fuel driven transactions. We're excited to be backing tem. and the team who possess a rare combination of skills and experience with the potential to revolutionise the energy markets. We’re excited to support them on the journey as they continue to scale."

www.tem.energy