Recurrent Energy Signs Its First Optimization Agreement with Octopus Energy in Italy

The project is among the very first co-located utility scale battery energy systems (BESS) to enter commercial operation in the Italian market, with Kraken supporting the optimization of innovative revenue models.

KITCHENER, ON / LONDON, August 4, 2026 - Recurrent Energy, a subsidiary of Canadian Solar Inc. ("Canadian Solar") (NASDAQ: CSIQ) and a leading global developer, owner, and operator of solar and energy storage assets, and Octopus Energy, a global clean energy company driving the power system of the future, announced the signing of an optimization agreement for the 14MW/43MWh BESS asset, co-located with a 35 MWp photovoltaic plant named "Montalto La Viola". Both assets are majority-owned by Recurrent Energy and are located in Montalto di Castro, Italy.

Under the deal, Octopus Energy will act as the trading partner, managing and optimizing the BESS asset, which was recently connected, while the co-located PV plant has been operational since 2025. Octopus Energy will use Kraken-the AI-powered operating system for energy-to control, dispatch and manage the battery, ensuring they can optimize demand and generation in real time, maximize asset value, and reduce imbalance costs.

This partnership represents a key milestone in the growth and positioning of both companies within the Italian storage market. It highlights their role in advancing decarbonization and supporting grid stability, while reinforcing a shared commitment to delivering renewable solutions that are reliable, flexible, and cost-competitive.

Alex Schoch, Director of Electrification at Octopus Energy, said, "As more renewables come online, flexibility becomes the backbone of our energy system. Batteries can store cheap, clean power when it's abundant which can then be used or exported when it's needed most, helping to balance the grid and reduce reliance on expensive fossil fuels. That helps build a more resilient grid, but, crucially, it helps cut household energy bills too. This partnership with Recurrent Energy marks a step towards building a smarter, more flexible energy system in Italy."

Devrim Celal, Chief Flexibility Officer at Kraken, said, "Batteries are a crucial building block of a modern, renewable-powered energy system. By managing solar and storage together, in real time, Kraken helps bring down costs, unlock new revenue streams and delay expensive upgrades to the grid. Together with Recurrent Energy and Octopus Energy, we're bringing these benefits to Italy - accelerating the transition to a smarter, cleaner energy system."

Dylan Marx, CEO of Recurrent Energy, added, "This milestone marks our first optimization structure and accompanies the commissioning of our first co-located BESS connected in Europe - among the earliest of its kind to become operational in Italy. The optimization agreement underscores our strategy of combining multiple revenue streams while strengthening grid security, performance, and adaptability. We are proud to collaborate with Octopus Energy on this landmark transaction and commend our teams for successfully delivering and integrating technical, commercial, and financial technologies and capabilities throughout the entire project lifecycle, setting a benchmark at both national and global levels."

About Recurrent EnergyRecurrent Energy, a subsidiary of Canadian Solar Inc., is one of the world's largest and most geographically diversified utility-scale solar and energy storage project development, ownership, and operations platforms. With an industry-leading team of in-house energy experts, Recurrent Energy serves as Canadian Solar's global development and power services business. To date, Recurrent Energy has successfully developed, built, and connected approximately 12 GWp of solar projects and 6.2 GWh of energy storage projects across six continents. As of March 31, 2026, the company had a total global solar project development pipeline of approximately 22 GWp and a battery energy storage project development pipeline of 74 GWh. The company also has nearly 15 GW of solar and energy storage projects under operations and maintenance (O&M) contracts. These figures exclude China. Additional details are available at https://www.recurrentenergy.com.

About Canadian SolarCanadian Solar is one of the world's largest solar technology and renewable energy companies. Founded in 2001 and headquartered in Kitchener, Ontario, the Company is a leading manufacturer of solar photovoltaic modules; provider of solar energy and battery energy storage solutions; and developer, owner, and operator of utility-scale solar power and battery energy storage projects. Over the past 25 years, Canadian Solar has successfully delivered nearly 177 GW of premium-quality, solar photovoltaic modules to customers across the world. Through its subsidiary e-STORAGE, Canadian Solar had shipped over 20 GWh of battery energy storage solutions to global markets as of March 31, 2026, and had a $3.5 billion contracted backlog as of May 8, 2026. Since entering the project development business in 2010, Canadian Solar has developed, built, and connected approximately 12.2 GWp of solar power projects and 6.4 GWh of battery energy storage projects globally. Its geographically diversified project development pipeline includes 24 GWp of solar and 81 GWh of battery energy storage capacity in various stages of development. Canadian Solar is one of the most bankable companies in the solar and renewable energy industry, having been publicly listed on the NASDAQ since 2006. For additional information about the Company, follow Canadian Solar on LinkedIn or visit https://www.canadiansolar.com.

Octopus Energy Group
Octopus Energy is a global clean energy and technology business, driving the affordable, green energy system of the future. Under its own retail brand, Octopus delivers world-class customer service and cutting-edge energy products to 11 million households globally.
The company is driving the electrification of heat and transport through smart tariffs and innovative clean tech, with operations spanning 27 countries and the entire energy value chain. It operates a £8.5 billion renewables portfolio as well as thriving EV leasing, heat pump, and solar businesses.
Backed by pension funds, investors and energy giants, Octopus Energy Group businesses deliver cheaper, greener energy and cutting-edge tech to countries and customers worldwide.
For more information, check out our website.

Safe Harbor/Forward-Looking Statements
Certain statements in this press release, including those regarding the Company's expected future shipment volumes, revenues, gross margins, and project sales are forward-looking statements that involve a number of risks and uncertainties that could cause actual results to differ materially. These statements are made under the "Safe Harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by such terms as "may", "will", "expect", "anticipate", "future", "ongoing", "continue", "intend", "plan", "potential", "prospect", "guidance", "believe", "estimate", "is/are likely to" or similar expressions, the negative of these terms, or other comparable terminology. These forward-looking statements include, among other things, our expectations regarding global electricity demand and the markets for solar power and battery energy storage; our growth strategies, future business performance, and financial condition; our ability to sustain our project development and balance long-term asset ownership with selective project sales; our ability to monetize project portfolios, manage supply chain fluctuations, and respond to economic factors such as inflation and interest rates; our outlook on government incentives, and policy support schemes, trade measures, regulatory developments, and geopolitical risks; our expectations for project timelines, costs, offtake and returns; competitive dynamics in solar and storage markets; our ability to execute supply chain, manufacturing, and operational initiatives; access to capital, debt obligations, and covenant compliance; relationships with key suppliers and customers; technological advancement and product quality; and risks related to intellectual property, litigation, and compliance with environmental and sustainability regulations. Other risks are described in the Company's filings with the Securities and Exchange Commission, including its latest annual report on Form 20-F filed on April 10, 2026. Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, it cannot guarantee future results, level of activity, performance, or achievements. Investors should not place undue reliance on these forward-looking statements. All information provided in this press release is as of today's date, unless otherwise stated, and Canadian Solar undertakes no duty to update such information, except as required under applicable law.

Canadian Solar Inc. Investor Relations Contact
Wina Huang
Investor Relations
Canadian Solar Inc.
[email protected]

Recurrent Energy Media Inquiries
Inés Arrimadas
Recurrent Energy
[email protected]

Media Relations: SEC Newgate
Elena Pescucci [email protected] +39 333 615 5660
Elena De Faveri [email protected] +39 349 725 0850

Octopus EnergySara Bernasconi [email protected] +39 351 7947181