Investment Update: Amber Electric

SECTOR: DIGITAL TECHNOLOGIES

In February this year Breakthrough Victoria invested into Amber Electric, a Victorian technology company that has developed proprietary software and advanced algorithms allowing Australians to optimise their energy usage and lower household bills.

THE INVESTMENT

WHO IS AMBER ELECTRIC

Amber Electric is a technology company that has developed proprietary software that provides customers with the opportunity to dynamically optimize their electricity usage and products in real time to lower their overall costs. Access to wholesale electricity rates via a fixed monthly amount, means that savings are passed on to the consumer rather than the parent company.

THE PROBLEM

The increasing shift to renewable energy has created a grid stability issue for the energy sector.

With the electrification of vehicles and household items becoming more common, more stress will be placed on the grid.

With this increased usage, the ability for consumers to leverage the benefits available from batteries and solar will be imperative.

Amber Electric founders Chris Thompson and Dan Adams

THE SOLUTION

Amber Electric’s SmartShift technology helps alleviate the strain on the energy grid by enabling consumers to automate their household devices and batteries to use renewable power when it’s available and wholesale prices are cheaper. It also creates the potential for households to automate the process of selling excess renewable energy to the grid when wholesale prices are higher.

Amber Electric’s technology has the potential to increase renewable energy usage by promoting solar, battery and electric vehicle adoption.

IMPACT FOR VICTORIA

Amber is playing a crucial role in the ecosystem by partnering with a network of solar and battery installers in Victoria, aiding the acceleration of the electrification transition.

Jobs

Headquartered in Melbourne, Amber currently employs 90 people, nearly all based in Melbourne, and is projected to grow to 200 employees over the next five years. Additionally, their partnerships are expected to create numerous indirect jobs, contributing to the growth of solar and battery installation companies.

Research and Development

Amber is also committed to research and development within Victoria, focusing on software product enhancements. With $46 million raised to date, the majority of their capital has been invested in the local economy, further driving innovation and commercialization in the region.

Everyday Victorians

The benefit to the wider Victorian public as consumers includes significant financial benefits from direct exposure to wholesale prices, especially when combined with the optimisation of products such as batteries and electric vehicles (EVs).

This optimisation not only helps consumers reduce their energy costs but also enhances the efficiency of the grid. Amber plays a crucial role in this process by adjusting for system pricing cues related to supply and demand imbalances.

Additionally, in the long run, both consumers and the environment will benefit from an increased penetration of renewable energy sources, leading to a more sustainable and cost-effective energy system. Amber also has the potential to license its technology internationally.

PROGRESS

Since Breakthrough Victoria’s investment in February, Amber has grown its customer base to over 37 thousand and hired 28 people (taking the total team size to 124).