BP buys tech firm to expand its net-zero program

BP has taken another step toward electrification, announcing Thursday it has acquired a New York-based tech company that can turn buildings into their own, flexible power networks by using cloud-based software to connect them to energy markets.

The tech company, Blueprint Power, uses customized algorithms to connect commercial buildings to power markets, allowing their owners to sell surplus energy stored in batteries or generated by equipment like roof-top solar panels.

Blueprint already works with five commercial real estate owners in New York to use more than 100 million square feet of property to generate 13 megawatts of renewably sourced power, which BP and Blueprint hope to increase to 36 megawatts by the end of 2022. One megawatt is enough to power about 200 Texas homes on a hot summer day.

The acquisition is part of BP’s Launchpad initiative, which aims to launch similar projects in several power markets across the United States. In April, BP applied with the Federal Energy Regulatory Commission to supply power to residents in Texas, California, Illinois, Ohio and Pennsylvania.

BP and other major European oil companies have increasingly staked their futures on renewable power as they transition from fossil fuels. In June, BP said it would buy $220 million worth of solar energy projects from Austin independent solar developer 7X Energy. A month later it announced a partnership with the Maersk McKinney Moller Center for Zero Carbon Shipping to study and develop projects aimed at reducing emissions within the maritime industry. Although BP said it would expand one of its Gulf of Mexico drilling operations to produce an average of 25,000 more barrels of oil per day, proceeds from that expansion would help fund renewable projects.

Sam Skerry, senior vice president of BP’s Launchpad & Ventures, said Blueprint Power’s technology can help reduce carbon emissions, enable more access to clean energy and create new business opportunities during the energy transition.

“Decarbonizing dense urban areas is a key challenge as we work to realize a net-zero world, and Blueprint’s technology can help deliver this critical transformation,” Skerry said. “This is exactly the type of company BP wants to scale and scale fast through our Launchpad accelerator.”