Croatian electrical engineering company Končar has secured selection for a EUR 39.3 million grant from the European Union’s Innovation Fund to develop technology designed to improve power conversion for green hydrogen electrolysers. The Končar Nexus project aims to industrialise a modular power interface that addresses electricity infrastructure challenges in energy-intensive industries.
The green hydrogen technology project has passed the evaluation process and been selected to enter the grant agreement preparation stage. It involves a planned investment of up to EUR 70.7 million, including the EU funding, to industrialise the Končar Smart Power Interface (KSPI), a 2.5 MW platform designed to convert medium-voltage grid electricity into direct current (DC).
Končar Nexus Targets Electrolyser Power Conversion
The Končar Nexus project focuses on developing and industrialising technology that supports the electrical systems required for green hydrogen production. Electrolysers need stable, high-quality DC power, while conventional grid connection systems can rely on multiple components, interfaces and conversion stages.
Končar’s Smart Power Interface is designed to combine several functions within a compact, modular platform. The technology is intended primarily for electrolysers used in green hydrogen production, although it can also serve other industrial processes requiring direct current.
According to Končar, integrating traditionally separate components into a single solution is expected to reduce energy losses, simplify installation and improve the efficiency and flexibility of power systems.
The project addresses an infrastructure bottleneck in the decarbonisation of energy-intensive sectors, where efficient electricity conversion is important for industrial-scale hydrogen production and other DC-powered applications.
Modular 2.5 MW Platform Integrates Key Systems
The Končar Smart Power Module (KSPM) is a standardised 2.5 MW modular platform based on solid-state transformer technology. It integrates medium-voltage interfacing, protection, power conversion, galvanic isolation, auxiliary power supply, liquid cooling, and digital monitoring and control within a single containerised unit.
By consolidating these functions, the platform is designed to provide a more integrated approach to connecting medium-voltage electricity networks with equipment that requires direct current. Its initial intended application is green hydrogen electrolysis, but the technology’s design also allows use in other industrial processes that require DC power.
The green hydrogen technology project will industrialise the technology for production and testing, rather than focusing solely on engineering development. Its planned manufacturing capability is intended to support serial assembly and dispatch of KSPM units.
Two Zagreb-Area Sites to Support Development and Production
Končar Nexus is planned across two sites in the Zagreb area, with separate roles for engineering validation and manufacturing.
The Fallerovo site will host engineering and validation activities. Planned facilities include a validation laboratory, engineering offices and a new 110 kV substation. The substation is intended to enable full-scale system testing and industrial qualification.
The second location, in Sesvetski Kraljevec, is planned as a greenfield production site. It will be developed for serial assembly, testing and dispatch of KSPM units.
According to the project update, the production facility is designed for a maximum output of up to 200 units annually. This planned capacity would establish a dedicated manufacturing base for the modular power technology.
EUR 70.7 Million Investment Includes EU Innovation Fund Support
The Končar Nexus project involves planned capital expenditure of up to EUR 70.7 million, with EUR 39.3 million expected from the European Commission’s Innovation Fund. The grant has not yet reached the final agreement stage, as the project has been selected to proceed with grant agreement preparation.
Končar is targeting financial closing by 31st March 2029. The system is scheduled to enter operation on 1st January 2031, according to the project update.
The funding programme supports innovative technologies intended to contribute to decarbonisation while strengthening industrial competitiveness. For Končar Nexus, the focus is on industrialising power conversion equipment that can support green hydrogen production and other industrial applications requiring direct current.
EU Innovation Fund Selects 77 Projects
In the latest funding call described in the announcement, the European Commission selected 77 projects from 23 European countries, with total funding of EUR 3.4 billion.
Končar Nexus is among the selected projects, with its proposed investment centred on power conversion technology for electrolysers and other industrial processes. The project combines engineering and validation infrastructure with a planned production facility, aiming to move the modular platform towards industrial-scale manufacturing.
The planned facilities, production capacity and funding schedule outline the next stages of development. Končar is targeting financial closing in 2029 and system operation from 2031, subject to completion of the grant agreement process and project implementation.