Connecticut
Department of Public Utility Control Issues Draft Decision Approving 16.2
Megawatts of Projects Using FuelCell Energy Power Plants
DPUC's Decision
Fosters Clean Energy Projects
DANBURY, Conn., Dec
24, 2007 (PrimeNewswire via COMTEX News Network) -- FuelCell Energy, Inc. (Nasdaq:FCEL),
a leading manufacturer of high efficiency ultra-clean power plants using a
variety of fuels for commercial, industrial and utility customers, announced
that the Connecticut Department of Utility Control (DPUC) has issued its
draft decision approving 16.2 megawatts (MW) of projects incorporating six of
the company's DFC3000 fuel cells. The final decision by the DPUC is scheduled
for January 9, 2008.
"This draft
decision marks a milestone on the path to Connecticut fulfilling its mandate
to satisfy its Renewable Portfolio Standards (RPS) for 800 MW of clean power
generation," said R. Daniel Brdar, Chairman and CEO of FuelCell Energy,
Inc. "These selections firmly establish fuel cells' role in deploying
ultra-clean energy capacity. With their 24/7 reliability, fuel cells can
solve electric grid congestion while reducing the need for new generation,
transmission and distribution investment. Our fuel cells provide this power
with virtually no emissions."
For FuelCell Energy,
these project approvals represent an important achievement that represents an
estimated $43 million in potential product sales.
Under Connecticut's
2003 energy act, utilities in the state are required to enter into long-term
power purchase agreements with developers. Three projects incorporating six
DFC3000 plants were approved in the draft decision released on December 21,
2007 by the DPUC. After the DPUC issues its final decision, project
developers will be in a position to finalize electricity purchase agreements
with utility companies and finalize project financing.
Because Direct
FuelCell(r) (DFC(r)) power plants use an electrochemical process (not
combustion) to produce power they produce near-zero nitrous oxides (NOx),
sulfur oxides (SOx) and particulate emissions. FuelCell Energy's power plants
are also 47 percent efficient compared to similar-sized fossil fuel
combustion plants that operate at 30 to 35 percent efficiency. When used in
Combined Heat and Power applications, DFC power plants achieve even higher
efficiencies since the byproduct heat from the fuel cell is used to produce
additional clean energy. These high efficiencies mean that DFC power plants
deliver more ultra-clean power for each unit of fuel used, lowering the cost
of generated power and substantially reducing CO2 emissions.
The FuelCell Energy
projects approved in the draft decision include:
* DFC-ERG Milford, LLC
-- A 9.0 MW DFC-ERG(tm) project that pairs 7.2 MW of DFC power plants with a
1.8 MW pipeline turbo expander. When natural gas is transferred from
transcontinental pipelines to local distribution pipelines, the gas cools. The
DFC-ERG system will capture the heat byproduct from FuelCell Energy's DFC3000
fuel cell and use the heat to warm the gas to its proper distribution
temperature. Excess power from the DFC-ERG system will be exported to the
grid. FuelCell Energy is partnered with Enbridge, Inc. and Southern
Connecticut Gas Company for the project which is expected to achieve an
electrical efficiency of approximately 60 percent.
* Hospital Energy
Development LLC/EMCOR -- A 4.8 MW project for Stamford Hospital will use 2
DFC3000 power plants in a combined heat and power application providing lower
cost thermal energy to the hospital as well as ultra-clean electricity to the
utility grid. The project is expected to achieve a combined heat and power
efficiency of over 60 percent and will be developed by EMCOR Energy Services
and Hospital Energy Development LLC.
* Hospital Energy
Development, LLC/EMCOR -- A 2.4 MW project for Waterbury Hospital that will
use 1 DFC3000 power plant in a combined heat and power application providing
lower cost thermal energy to the hospital as well as electricity to the grid.
The project is expected to achieve a combined heat and power efficiency of
over 60 percent.
"These projects
will increase our existing sales backlog of 25 MW by more than 50 percent
when the projects are accepted. This volume will enable additional cost
reduction and expansion of our facilities," Brdar said.
About FuelCell Energy
Inc.
FuelCell Energy is the
world leader in the development and production of stationary fuel cells for
commercial, industrial, municipal and utility customers. FuelCell Energy's
ultra-clean and high efficiency DFC(r) fuel cells are generating power at
over 50 locations worldwide. The company's power plants have generated more
than 200 million kWh of power using a variety of fuels including renewable
wastewater gas, biogas from beer and food processing, as well as natural gas
and other hydrocarbon fuels. FuelCell Energy has partnerships with major power plant
developers, trading companies and power companies around the world. The
company also receives substantial funding from the U.S. Department of Energy
and other government agencies for the development of leading-edge
technologies such as hybrid fuel cell/turbine generators and solid oxide fuel
cells. For more information please visit our website at www.fuelcellenergy.com
This news release contains forward-looking statements, including
statements regarding the Company's plans and expectations regarding the
continuing 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, general risks
associated with product development, manufacturing, changes in the utility
regulatory environment, potential volatility of energy prices, rapid
technological change, competition, and the Company's ability to achieve its
sales plans and cost reduction targets, 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.
This news release was distributed by PrimeNewswire, www.primenewswire.com
SOURCE: FuelCell Energy, Inc.
FuelCell Energy, Inc.
Lisa Lettieri
203-830-7494
ir@fce.com