Naco Technologies using innovation vouchers to demonstrate the viability of its technologies

Green hydrogen is considered key in reducing carbon emissions in manufacturing, transport and energy. However, broad application of this technology has so far been hindered by its high cost and the limited durability of materials. The nano coatings developed by Latvian start-up Naco Technologies offer a solution to these problems as they protect the components of hydrogen systems from corrosion thus significantly extending their service life and reducing the need to use rare precious metals, such as platinum and iridium. As a result, green hydrogen technologies are becoming not only eco-friendlier, but also more affordable.

A year after its foundation – in 2021 Naco Technologies applied for the innovation voucher programme offered by the Investment and Development Agency of Latvia (LIAA) to demonstrate the viability of its technologies. “Hydrogen technologies contain components, such as membranes, which are usually coated with very expensive metals. We wanted to find out if the technology we had envisioned is suited for vacuum coating of these fragile membranes,” Raivis Ņikitins, Commercial Director of the company, explains.

The state-supported research allowed for experimental verification of the suitability of the technology and convince potential cooperation partners of its viability. “That was the first step that allowed us to move forward from there on out. Without this initial phase, it would have been much harder to convince our partners,” Mr Ņikitins notes.

Another important state support mechanism which Naco Technologies initially took advantage of was support for start-ups to attract highly skilled workers. “The next major step was to bring in and keep highly qualified material scientists, vacuum technology experts and business development professionals who could help us enter the market,” Mr Ņikitins explains. “This helped us overcome financial challenges at a time when our income was still minimal, but our need for highly-skilled expertise – huge. These people are still the core of our team.”

Over the course of the next couple of years Naco Technologies successfully participated in several investment attraction programmes securing several millions of euros in financing. In 2023, the company opened a new state-of-the-art pilot factory and is already collaborating with such global companies as Siemens Energy, ThyssenKrupp Nucera, Toyota, Ballard and Hyundai. Naco Technologies provides a full range of services: from the design of new nano coating materials to delivery of coated components. While developing rapidly, hydrogen technologies are still only in their infancy and further growth is largely dependent upon accessibility of infrastructure and development of regulation at national and international level. Yet, as Mr Ņikitins points out, the company is continuing to build its capacity by adapting to market dynamics and demand.

This article has been produced with financial support from the European Regional Development Fund.