Hydrogen fuel cell generators are quietly becoming one of the most important pieces of equipment in modern defence and off-grid energy systems. That rise became even clearer as Estonian startup PowerUP Energy raised €10 million to scale its next generation of clean, silent, and highly resilient power units.
The funding came from Mercaton and ScaleWolf, with added backing from Estonia’s SmartCap Green Fund. Together, they are betting on the shift toward reliable clean power in places where traditional generators often fail.
PowerUP Energy started in 2016 under the leadership of Ivar Kruusenberg, who first built hydrogen systems for space missions with the European Space Agency. The company later applied the same engineering discipline to defence, industrial operations, and off-grid civilian sites. This tight connection between deep-tech research and real-world demand has shaped the way PowerUP approaches its products.
The company is now known for delivering hydrogen fuel cell generators that keep working in situations where power failure would cause severe disruption. Many of these systems run in harsh environments where dust, cold, vibration, or long deployments usually push generators beyond their limits. PowerUP built its technology to survive all of that.
What sets the company apart is how “field-tested” its systems really are. The generators have already been deployed in conflict-affected regions, including Ukraine, where reliable power becomes a matter of safety and national resilience. Their ability to operate quietly, without emissions, and without heavy logistics has made them attractive to defence units and civilian agencies facing the same challenges.
This performance in extreme conditions also supports a wider push for energy sovereignty. Many governments and industries no longer want to depend on fossil-based backup systems that are loud, polluting, and vulnerable during crises. With quiet operation, zero emissions, and high reliability, hydrogen fuel cell generators give them a stable alternative that works during disasters, blackouts, and long missions.
The new investment now allows PowerUP to scale globally. A major part of the plan is to build larger sales and technical support teams to serve critical infrastructure clients. Demand is rising in regions dealing with unstable grids and new regulations that demand cleaner backup energy. The timing makes expansion a natural next step.
PowerUP will also open sales and support hubs in Central Europe and North America. These hubs will help the company respond faster to deployment needs and give clients access to real support rather than long waits. This is especially important for defence partners and telecom operators who depend on rapid service.
On the technology side, the company will accelerate R&D to create higher-density hydrogen fuel cell generators. These new units will serve a wider range of power needs, from compact mobile units for field teams to larger generators for remote industrial operations or off-grid communication towers.
Kruusenberg has repeatedly stressed that the company was built on resilience, not hype. He said the mission has always been simple: deliver clean power that works every time. While other energy systems continue to sit in testing labs, PowerUP’s generators have been validated under real conflict conditions. For him, this is what dual-use innovation truly looks like, where cleantech becomes even stronger after being shaped by defence needs.
ScaleWolf partner Dave Harden echoed the same view. He said the team values technologies that protect security and operational continuity in the toughest settings. He pointed out that PowerUP has already proven it can deliver stable power when the stakes are highest, which is why the firm is backing its next phase of growth.
SmartCap’s Managing Director, Sille Pettai, described PowerUP as a green technology company with the rare ability to serve both the transition to clean power and the demands of modern defence. She noted that hydrogen fuel cell generators offer low noise, low vibration, and low heat visibility, making them suitable for advanced communications and surveillance systems. Reliability and performance often matter more than climate goals in these environments, but PowerUP manages to deliver on both fronts.
The new funding sets the company up for a stronger global footprint and a broader product range. As more governments and industries move toward clean, stable, and secure energy sources, PowerUP’s hydrogen fuel cell generators are positioned to become essential hardware in places where failure is not an option.
