FuelCell Energy (FCEL) to Develop 3.7-MW Power Plant in Connecticut

September 6, 2016 8:52 AM EDT

Get access to the best calls on Wall Street with StreetInsider.com's Ratings Insider Elite. Get your Free Trial here.

FuelCell Energy, Inc. (Nasdaq: FCEL) announced the development of a utility scale power project to showcase industry leading electrical efficiency that enables utilities to affordably and cleanly solve power generation challenges in land-constrained areas. Construction will begin within weeks for a 3.7 megawatt fuel cell power plant at a location in Danbury, Connecticut, following recent approval by the Connecticut Siting Council.

“This fuel cell solution is a breakthrough in transforming power generation networks to a cleaner, more affordable and capital efficient model that meets the needs of global economies today,” said Chip Bottone, President and Chief Executive Officer, FuelCell Energy, Inc.

“We are enhancing the electrical efficiency of this fuel cell power plant by configuring the fuel cell modules in a series to utilize the fuel to the greatest degree possible,” said Tony Rauseo, Senior Vice President and Chief Operating Officer, FuelCell Energy, Inc. “This is a really innovative design targeting utility and data center applications.”

“Our business model of locating clean and affordable power near where the power is used acts to spur urban redevelopment by enhancing local infrastructure and generating property and sales tax revenue for municipal and state governments to a degree that other clean distributed power generation projects have difficult matching,” said Michael Bishop, Senior Vice President and Chief Financial Officer, FuelCell Energy, Inc. “The high availability of fuel cells drives significant renewable energy credit generation supporting both project economics and state-level renewable power standards.”

The standard 2.8 megawatt DFC3000® power plant utilizes two fuel cell modules operating in parallel. This 3.7 megawatt configuration adds a third module that utilizes unused fuel from the other two fuel cell modules as well as heat, along with some natural gas input to economically and efficiently produce additional power. The 3.7 megawatt power plant, adequate to power approximately 3,700 average size homes, will occupy only about 10,000 square feet, or only a ¼ of an acre, of an industrial lot near an existing electrical substation. FuelCell Energy has executed a long term lease for the land and expects to sell the power to the local utility, supplying the power to a nearby electrical substation. The Company will explore opportunities to sell the project after commissioning.

Multi-megawatt fuel cell installations solve power generation challenges as the combination of near-zero pollutants, modest land-use needs, and the quiet operating nature of fuel cell power plants facilitates their siting in urban locations. Fuel cell power plants offer a multitude of advantages for utilities and neighboring communities, including:

  • Environmentally friendly power generation with virtually zero nitrogen oxide (NOx) that causes smog, sulfur dioxide (SOx) that contributes to acid rain, or particulate matter (PM10) that aggravates asthma, and the power is delivered with a low carbon footprint
  • Distributed power generation places power near where it is used, enhancing the resiliency of the grid and avoiding the line losses associated with transmission
  • Highly efficient power generation process that is economical
  • Continuous renewable power around the clock that is not reliant on weather or time of day
  • Rapid construction with a 59 MW fuel cell park constructed in only 14 months

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In

Related Categories

Corporate News, Management Comments

Related Entities


Add Your Comment