Deep-tech engineering startup Hycosys has raised over $1 million (approximately ₹9 crore) in a seed funding round led by MountTech Growth Fund under its Kavachh initiative. The round marks a significant step in the company’s mission to build hydrogen ready, low-emission micro gas turbine systems.
The Bengaluru based firm had previously secured $88,400 in a pre-seed round from PointOne Capital in December 2024.
Funding to Accelerate Clean Energy Innovation
Hycosys will use the fresh capital to expand its engineering team, access advanced testing infrastructure, and accelerate the development of its micro gas turbine (MGT) platform. The startup aims to demonstrate a functional clean energy alternative to diesel-based generators by mid-2027.
Founded in 2024 by Tapish Agarwal and Ugandhar Reddy, Hycosys is building fuel-flexible, low-emission turbine systems engineered from first principles. The company is supported by government, venture capital, and CSR-backed programs focused on energy innovation.
Targeting Diesel Generator Replacement
India currently has over 227 GW of installed diesel generator capacity, largely used for industrial backup and captive power needs. Hycosys aims to disrupt this segment by offering hydrogen ready and clean fuel-flexible micro gas turbines designed for distributed power, mobility, and aerospace applications.
Its proprietary technology includes a hydrogen optimised combustor, a 3D-printed heat recovery unit, and an advanced turbine architecture. These systems are currently undergoing testing at IIT-BHU. The company claims its design enhances efficiency while making the turbine up to 30% lighter than conventional systems.
Long-Term Decarbonisation Vision
Beyond stationary power applications, Hycosys plans to integrate its MGT systems into microgrids, heavy commercial vehicle range extenders, and propulsion systems for large fixed wing drones and aircraft.
The startup’s roadmap aligns with India’s broader decarbonisation goals, including the target of meeting 50% of total energy requirements from non-fossil sources by 2030.
With seed funding secured, Hycosys is positioning itself at the intersection of clean energy, indigenous turbine manufacturing, and advanced engineering innovation.
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