29.4.2004: Meldung: Fuell Cell Energy to Provide Four 250-Kilowatt Power Plants
Second Brewery Application Will Be FuelCell Energy"s First Food Processing Application in the United States
DANBURY, Conn., -- FuelCell Energy, Inc. (Nasdaq: FCEL - News) and Alliance Power have entered into an arrangement by which Sierra Nevada Brewing Co. of Chico, Calif. is expected to purchase four 250-kilowatt Direct FuelCell® (DFC®) power plants in late 2005 or early 2006. Until that time, a joint venture of FuelCell Energy and Alliance Power will supply electric power and heat to the brewery"s production processes. The power plants are expected to be delivered and operational in the first calendar half of 2005.
Alliance Power is the turnkey provider to the project and FuelCell Energy will provide the DFC power plants and operations and maintenance services. After Sierra Nevada purchases the units, FuelCell Energy will provide maintenance services under a long-term service agreement.
The DFC power plants will initially operate on natural gas. Sierra Nevada is exploring the possibility of supplementing the fuel supply with anaerobic digester gas.
Pacific Gas and Electric, administrator for The California Public Utilities Commission"s (CPUC) Self-Generation Incentive Program for their service territory, has issued a reservation letter that will provide incentive funding of 40 percent of eligible project costs to the combined entity.
"This transaction demonstrates that our DFC power plants, designated as "ultra-clean" distributed generation in the state of California, can provide customers with clean and efficient power with cost savings versus the grid, when leveraging available state incentives," said Herbert T. Nock, Senior Vice President of Marketing and Sales of FuelCell Energy. "The Self-Generation Incentive Program in California is a key enabler for us to develop a market for our DFC power plants in California."
"The heat and power derived from these fuel cell power plants will reduce our energy costs compared with what we were paying from the grid," said Ken Grossman, founder and owner of Sierra Nevada Brewing Co. "We could have saved even more by going with traditional, combustion-based natural gas generators, but we are willing to pay a premium for the environmental benefits delivered by the FuelCell Energy power plants."
Grossman added, "This is part of our ongoing commitment to keeping Sierra Nevada Brewing Co. as green a facility as possible."
"This transaction is evidence that customers are willing to pay a premium for clean and efficient power," said James Michael, President of Alliance Power. "The good news is that with state support from California, this still provides a more economical energy alternative for Sierra Nevada versus grid- delivered power."
About the CPUC Self-Generation Incentive Program
The CPUC Self-Generation Incentive Program was created to encourage customers of electrical corporations to install distributed generation that operates on renewable fuel and/or contributes to system reliability. Existing law defines "ultra-clean and low-emission distributed generation" as an electric generation technology that produces zero emissions during operation or that produces emissions that are equal to or less than limits established by the California Air Resources Board (CARB). The program currently runs through 2007 and provides up to $66 million per year in incentive funding for ultra-clean and renewable generators, including fuel cells.
FuelCell Energy"s DFC300A Designated as "Ultra-Clean" Technology in California
In May 2003, FuelCell Energy"s DFC300A power plants were state certified to meet CARB"s stringent new distributed generation emissions standards for 2007. By meeting this standard, the Company"s sub-megawatt DFC power plants are categorized as an "ultra-clean" technology, exempting them from air pollution control or air quality district permitting requirements by CARB. In addition, this certification qualifies the Company"s products for preferential rate treatment by the CPUC, such as the elimination of "exit fees" and "standby charges" for customer electric generation utilizing "ultra-clean" technologies.
About Direct FuelCells
Direct FuelCells efficiently generate clean electricity at distributed customer locations, including hospitals, schools, universities, hotels and other commercial and industrial facilities, as well as in grid-support applications for utility customers. Direct FuelCells operate similar to large, continuously operating batteries except they utilize a fuel to generate electricity, such as natural gas or digester gas from wastewater treatment facilities. DFC power plants are hydrogen generators, and because of this are ready today and do not require the creation of a hydrogen infrastructure. This high-efficiency technology generates more electric power from less fuel and with less carbon dioxide emissions than traditional combustion methods. The sub-megawatt fuel cell power plant is a collaborative effort using Direct FuelCell® technology of FuelCell Energy and the Hot Module® balance of plant design of MTU CFC Solutions, GmbH, a subsidiary of DaimlerChrysler.
About FuelCell Energy, Inc.
FuelCell Energy, Inc., based in Danbury, Connecticut, is a world leader in the development and manufacture of high temperature fuel cells for clean electric power generation, currently offering DFC power plant products ranging in size from 250 kilowatts to 2 megawatts for applications up to 50 megawatts.
The Company has developed commercial distribution alliances for its carbonate Direct FuelCell technology with MTU CFC Solutions in Europe; Marubeni Corporation in Asia; Enbridge Inc. in Canada; Caterpillar, PPL Energy Plus, Chevron Energy Solutions and Alliance Power in the U.S. FuelCell Energy is developing Direct FuelCell technology for stationary power plants with the U.S. Department of Energy through its Office of Fossil Energy"s National Energy Technology Laboratory. More information is available at www.fuelcellenergy.com.
About Alliance Power, Inc.
Alliance Power, Inc. has developed economical and environmentally acceptable distributed generation (DG) facilities ranging in size from 1 MW to 49 MW. The company"s unique approach to DG projects maximizes the use of existing utility infrastructure to reduce costs. Alliance Power performs all aspects of project implementation including siting, planning, permitting, designing, constructing, financing, and operating. The company has a proven team, and has the experience and technology to deliver DG power supplies on schedule -- with economical and competitive rates. Alliance Power has a staff experienced in providing power generation development in a variety of settings and for a wide array of clients. Alliance Power"s headquarters are located in Littleton, Colorado with regional offices across the U.S. More information is available at www.alliancepower.com.
About Sierra Nevada Brewing Co.
Sierra Nevada Brewing Co. has a proud history as one of the pioneers of the craft brewing industry and as a brewer of award-winning beers since 1981. The Brewery is driven to operate in an efficient and environmentally sound manner. Sierra Nevada considers resourcefulness a philosophy and has pioneered efforts to integrate environmental values into management decisions and practices. More information is available at www.sierranevada.com.
This news release contains forward-looking statements, including statements regarding the Company"s plans and expectations regarding the development and commercialization of its fuel cell technology. All forward- looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Factors that could cause such a difference include, without limitation, the risk that commercial field trials of the Company"s products will not occur when anticipated, general risks associated with product development, manufacturing, integration of the Company"s acquisition of Global Thermoelectric Inc., changes in the utility regulatory environment, potential volatility of energy prices, rapid technological change, and competition, as well as other risks set forth in the Company"s filings with the Securities and Exchange Commission. The forward- looking statements contained herein speak only as of the date of this press release. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statement to reflect any change in the Company"s expectations or any change in events, conditions or circumstances on which any such statement is based.
Source: FuelCell Energy, Inc.