Europe’s energy crisis shows no signs of easing. With imports from Russia drastically reduced, industrial electricity prices soared 124% between 2019 and 2023 in the UK and 93% in France. In the UK, the average annual household bill will hit £1,755 from October 1st, a £35 hike from the previous cap set three months ago, while small businesses face mounting pressure from skyrocketing costs.
But amid the turmoil, a new wave of energy startups is stepping up. These companies are not only helping to cushion the immediate blow but are also laying the groundwork for a cleaner, more resilient and secure energy system in Europe.
From renewable generation (solar, wind, nuclear) to efficiency solutions in buildings, heating and cooling, to breakthroughs in storage, green hydrogen and heat pumps — these are the startups shaping Europe’s energy future, according to investors from Planet A Ventures, Blume Equity, Voyager Ventures, Kompas VC and Extantia Capital.
Lena Thiede, cofounding partner at Planet A Ventures
Lena Thiede is a founding partner at Planet A Ventures, an early-stage, science-based European tech VC.
Barocal
A Cambridge spinout, Barocal was founded in 2019 and has developed the world’s first solid‑state refrigeration and heating systems using organic materials, doubling efficiency and cutting emissions by up to 75%. Barocal’s technology can be applied across residential and commercial buildings, refrigeration, industrial processes and high-demand cooling environments such as data centres. The company has raised a total of $4.4m, according to Dealroom data.
Avoltra
Munich‑based Avoltra digitises energy procurement for heavy industry, where €100m+ annual spend is still managed via phone calls and Excel. Avoltra is targeting the 7,000+ firms exposed to volatile energy markets, positioning itself as the operating system for industrial energy buying. The company has raised a total of $2.5m, according to Dealroom data.
Epyr
French cleantech Epyr is deploying modular fire‑brick thermal energy storage systems that soak up low‑cost renewable energy and release high‑temperature heat on demand — providing an industrial-scale, cost‑competitive path to electrify process heat and decarbonise one of the hardest-to-abate segments. The company has raised a total of $3.3m, according to Dealroom data.
Michelle Capiod, cofounding partner of Blume Equity
Michelle Capiod is a founding partner of Blume Equity, a climate tech growth equity firm with offices in London and Amsterdam. She has spent the last 20+ years as a VC and PE investor, previously an investment banker focused on Energy & Power at Merrill Lynch.
Cactos
Finland-based Cactos delivers intelligent Battery Energy Storage System (BESS) solutions for commercial, industrial, and grid-scale applications. Its distributed energy storage units are managed through an advanced cloud-based control platform that automates key energy functions such as load shifting, peak shaving and reserve power. Offered under a lease-and-operate model, Cactos handles the financing, construction, installation, commissioning, operation and maintenance of the systems. The company has raised a total of $37.6m, according to Dealroom data.
Electricity Maps
Denmark-based Electricity Maps offers the world’s most comprehensive electricity data platform, delivering unparalleled insights into the grid with high-resolution, global coverage. The platform provides API access to electricity mix, pricing and carbon intensity data — available historically, in real time, and up to 72 hours in advance. Supporting a wide range of industries, Electricity Maps enables use cases across energy trading, electric mobility and sustainability tracking and reporting. The company has raised a total of $6.6m, according to Dealroom data.
Emulate Energy
Sweden-based Emulate Energy provides a platform that enables both utilities and residential customers to access smarter, more cost-effective flexibility solutions. As the adoption of renewable energy and distributed energy resources (DERs) — like heat pumps, batteries, EV chargers and solar panels — continues to grow, utilities face the challenge of maintaining grid stability and efficiency. Emulate’s platform optimises energy use to lower emissions, reduce consumer costs, relieve grid stress and boost utility margins. The company has raised a total of $9.3m, according to Dealroom data.
Enode
Norway-based Enode offers an API platform that allows businesses and developers to connect and manage users’ energy devices — such as electric vehicles (EVs), solar inverters, home batteries and thermostats — through a single integration. With a unified interface, Enode simplifies access to energy device data and automates functionality, making it easier to build applications for energy management, smart charging and grid optimisation. The company has raised a total of $17.4m, according to Dealroom data.
Suena
Germany-based Suena delivers intelligent trading solutions for energy storage and renewables through its AI-powered optimisation platform. Designed to accelerate the energy transition, the platform leverages advanced algorithms and accurate forecasting to make real-time trading decisions, maximising the performance of storage systems and renewable assets across electricity and balancing markets. The company has raised a total of $4.6m, according to Dealroom data.
Matthew Blain, principal at Voyager Ventures
Matthew Blain has been incubating and launching early-stage businesses since 2017. He joined Voyager in San Francisco as the fund’s first hire in 2022 and now leads Voyager’s European team.
Tem
UK-based Tem is radically disrupting energy markets through software-enabled vertical integration. The company buys energy directly off generators, sells it to business customers and cuts out the inefficient wholesale markets in the process. It can therefore offer higher returns to generators and cheaper energy for European companies. The company has raised a total of $17.3m, according to Dealroom data.
Vaire
The amount of power consumed by AI in Europe is projected to quadruple by 2030. Conventional semiconductor miniaturisation has hit a “power-and-thermal wall”, capping performance gains in everything from data centres to edge AI. UK-based Vaire is developing a fundamental shift in circuit design that reuses energy instead of wasting it as heat delivers higher performance and large energy savings. The company has raised a total of $10m, according to Dealroom data.
Sebastian Peck, partner at Kompas VC
Sebastian is a Partner at Kompas VC, an early-stage fund that backs innovative technologies that reduce emissions, increase productivity and strengthen industrial companies’ resilience. The firm recently launched its second fund (€150m) and writes initial cheques from seed to Series B in Europe and the US.
Hades
Geothermal energy, used for heating and electricity generation, accounts for over a quarter of Iceland’s electric power production. But despite that, it remains an underutilised renewable energy source. Germany-based Hades is developing innovative drilling and subsurface access systems to operate directly across energy and mineral projects. This allows access to untapped geothermal energy reservoirs outside hotspots like Iceland. The company has raised a total of $6.1m, according to Dealroom data.
Aedifion
Germany-based Aedifion provides an AI-powered cloud platform designed to help commercial and institutional building owners and operators run their properties more efficiently and sustainably. It connects to and analyses building systems — like heating, ventilation and air conditioning (HVAC), lighting and elevators — to reduce energy use, CO₂ emissions and operating costs without expensive renovations. The company has raised a total of $32.4m, according to Dealroom data.
AssetCool
UK-based AssetCool was founded in 2018 and has engineered a coating to cool power lines.. By modifying conductor properties, the company’s innovative coating range enhances transmission line capacity, reduces corona noise and mitigates corrosion. Its coatings can be applied in the factory, at the point of manufacture, or in the field directly on existing lines with AssetCool’s proprietary power line coating robots. The company has raised a total of $16.2m, according to Dealroom data.
Yair Reem, partner at Extantia Capital
Yair Reem is a Partner at Extantia Capital, a venture capital firm backing pioneers in climate. Extantia invests in software and hardware solutions that address large, near-term market opportunities with the power to redefine industries. Previously, Yair was managing director at Hasso Plattner Ventures and a cyber technology leader at Israel’s Unit 8200.
Blixt
Sweden-based Blixt is pioneering next-generation solid-state circuit breakers that enable digital control of electricity at the edge of the grid. Its technology unlocks new capabilities for distributed energy resources, demand-side management, and ultimately a more flexible and resilient power system. The company has raised a total of $10.6m, according to Dealroom data.
Entrix
Germany-based Entrix develops AI-driven optimisation for battery storage projects, helping maximise returns in volatile power markets. As batteries and distributed energy resources are deployed en masse, this is a crucial service for project operators and investors. The company has raised a total of $6m, according to a company press release.
Tibo Energy
Netherlands-based Tibo Energy delivers intelligent energy management platforms for complex sites, orchestrating solar, storage, EV charging and more. By being able to work across multiple assets, sets them apart from others in the decentralised, software-defined grid of the future. The company has raised a total of $9.9m, according to Dealroom data.
Read the orginal article: https://sifted.eu/articles/energy-startups-to-watch-2025/
