The funding makes up part of the first phase of the Horizon 2020 Small and Medium-sized Enterprise Instrument programme, which received a total of 2,148 applications from across 43 countries.
It aims to help kick-start the commercialisation of Minesto’s ‘Deep Green’ off grid marine energy converter.
In the second phase, grants of up to €2.5 million (£2.2m) or more are available for innovation development and demonstration purposes.
Dr Martin Edlund, CEO of Minesto, said: “This grant underscores Minesto’s ability and industry-leading track record in obtaining public funding support from the EU.
“More importantly, it also shows that the European Commission acknowledges and supports our market entry approach based on initial small-scale installations and early-stage customer involvement.”