Estonian startup PowerUP Energy Technologies has secured a €10 million Series A round to scale its hydrogen-powered electric generators.
Led by Mercaton and ScaleWolf, with support from Estonia’s SmartCap Green Fund, the funding shows the growth of clean power solutions that can perform where traditional systems fall short.
“Field-tested” tech built for the toughest conditions
Founded in 2016 by Ivar Kruusenberg, PowerUP has roots in engineering hydrogen systems originally designed for space missions with the European Space Agency. Today, that same engineering rigor is being applied to defence, industrial, and off-grid applications.
PowerUP’s technology has already earned a reputation for operating reliably in the harshest environments, giving it an edge in sectors where energy failure is not an option.
At the centre of the company’s mission is a clear dual-use strategy to provide dependable power for defence operations and critical civilian infrastructure such as telecommunications and security networks. In both spaces, a stable energy source can strengthen operational continuity and national resilience.
The founder has long emphasised resilience as the company’s defining strength. PowerUP’s fuel cell generators have already been deployed and validated in extreme operational zones, including conflict-affected areas like Ukraine. Their performance under such conditions has elevated the company’s standing among customers seeking national security-grade energy independence.
This field-proven reliability also supports a broader shift toward energy sovereignty. Governments and industries are increasingly looking for systems that maintain uptime during crises, operate quietly, and reduce dependence on fossil-based backup power. PowerUP’s emission-free, silent generators tick all these boxes, making them suitable for both advanced defence units and sensitive civilian sites like off-grid communication towers.
Scaling a global footprint
The latest investment will accelerate the company’s momentum on several fronts. A key priority is expanding commercial reach by growing sales and technical support teams to serve critical infrastructure clients. With demand rising in regions facing grid instability and new regulatory pressure for cleaner backup power, the timing is favorable.
PowerUP also plans to establish sales and support hubs in Central Europe and North America, bringing services closer to customers and deepening its international presence. These hubs will help the company respond quickly to operational needs while strengthening long-term partnerships in markets showing strong appetite for resilient hydrogen solutions.
On the technology front, the funding will back R&D efforts to develop higher-density fuel cell models. These next-generation systems aim to address a wider spectrum of power needs, from compact mobile units to larger generators for industrial and remote operations.
“PowerUP was founded on a clear mission: to deliver clean, reliable energy solutions. While other technologies are still being tested in labs, ours has already been battle-tested on the front lines in Ukraine. This is the very definition of dual-use innovation: a cleantech solution that has been forged and validated by the urgent needs of defense,” said Ivar Kruusenberg, Founder and CEO of PowerUP Energy Technologies. “This capital will directly allow us to expand our network of resellers, distributors and partners in defense and in the commercial sector.”
“At ScaleWolf, we value technologies that strengthen security and resilience where it matters most. PowerUP has shown that its systems can deliver dependable power in demanding environments, supporting both defence missions and essential civilian operations. We are proud to back a team that turns proven performance into meaningful dual-use capability,” said Dave Harden, Partner at ScaleWolf.
“PowerUP is a great example of a broadly applicable green technology company that can capture the changing market opportunities of green transition and quickly address new market needs in defence. PowerUP develops and manufactures hydrogen fuel cell generators as main power, backup power or battery extender solutions for reliable and sustainable energy. This has also turned to be a critical technology for modern defence and security applications, like enabling advanced communication networks and surveillance systems with low noise, vibration, and heat signature, where choice of tech is driven first and foremost by reliability and performance rather than climate objectives,” said Sille Pettai, Managing Director of SmartCap.
