FuelCell Energy Subsidiary Executes Power Purchase Agreement For Long Island 7.4 MW Fuel Cell Project
December 20 2018 - 8:00AM
FuelCell Energy, Inc. (Nasdaq: FCEL), a global leader in
delivering clean, innovative and affordable fuel cell solutions for
the supply, recovery and storage of energy, today announced the
signing of the first of three long-term power purchase agreements
(“PPA”) under the Fuel Cell Resources Feed-In Tariff IV (“FIT IV”)
program administered by PSEG Long Island.
This PPA stems from the selection of a 7.4 megawatt fuel cell
project located in Yaphank, New York by PSEG Long Island under a
solicitation for 40 megawatts of fuel cell based power
resources. The solicitation sought NY CES qualified fuel cell
resources from one megawatt to under 10 megawatts in nine
designated electrical distribution development areas and up to 20
megawatts at the transmission level at 10 key substation locations
across Long Island. The Yaphank 7.4 megawatt project is one
of three projects totaling 39.8 megawatts awarded to FuelCell
Energy as part of the FIT IV competitive bid process.
The power from the Yaphank project will be sold under a 20-year
power purchase agreement. FuelCell Energy’s wholly-owned
special purpose project entity, Yaphank Fuel Cell Park, LLC, will
own, operate and maintain the fuel cell power plants, which are
being installed by FuelCell Energy. In addition to reliable
and local clean energy, the fuel cell facility will be a good
economic partner for the Town of Brookhaven offering new
incremental revenue from leasing a site from the Town.
“We have finished the permitting, engineering and site design
required to progress this innovative 7.4 megawatt project in Long
Island to construction,” said Chip Bottone, President and Chief
Executive Officer of FuelCell Energy, Inc. “Fuel cells are a great
fit to provide grid modernization by delivering increased security,
enhanced sustainability and capital efficiency. One of the most
space-efficient clean energy technologies qualified under the CES,
this project, along with the other two FIT IV projects that are
nearing this same stage of development, demonstrate the many
benefits of integrating clean and predictable fuel cells into New
York’s energy mix.”
The other two selected projects have made substantial progress
completing the prerequisite items leading to PPA execution.
FuelCell Energy expects to complete the remaining items in the near
term, allowing FuelCell Energy to execute PPAs for the remaining
32.4 megawatts of projects. These projects include:
- An 18.5 megawatt project located at the Brookhaven Rail
Terminal in Yaphank.
- A 13.9 megawatt project located at an industrial park also in
Yaphank, NY.
The Company has been diligently working to complete development
of these landmark projects, and currently plans to commence
construction in 2019. Development activities up to this point have
included environmental reviews, electrical interconnection studies,
and permitting activities under the NY SEQRA process, and design
engineering and planning. FuelCell Energy continues to work
cooperatively with the Town of Brookhaven, the landowners, local
agencies and the interconnection review teams at New York
Independent System Operator (“NYISO”) and PSEG Long
Island.
In addition to the delivery of continuous, reliable and
CES-qualified electricity to this growing area of the system,
according to publicly available information, the combined fuel cell
facilities will defer millions of dollars in local transmission and
distribution upgrades otherwise needed to maintain reliability in
the Yaphank area.
PSEG Long Island operates the Long Island electric power
delivery system for LIPA, a subdivision of the State of New York
that owns the electric transmission and distribution system serving
Long Island and the Rockaways, with a mission to enable clean,
reliable, and affordable electric service for its customers. With
initiatives to meet Governor Cuomo’s New York State’s aggressive
clean energy goals, LIPA and PSEG Long Island lead New York with
the largest commitment to clean fuel cell technology.
“LIPA and PSEG Long Island are leaders in clean energy
deployment, taking visionary steps forward in its programs to
develop the use of fuel cell power systems as part of its energy
technology mix,” said Chip Bottone, President & CEO of FuelCell
Energy, Inc. “LIPA and PSEG Long Island’s commitment to meet Long
Island’s growing need for clean electricity and their focus on
installing resilient power generation contribute to the overall
reliability and performance of LIPA’s electric grid.”
Forward Looking Statement This news
release contains forward-looking statements within the meaning of
the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995, including, without limitation, statements with
respect to the Company’s anticipated financial results and
statements regarding the Company’s plans and expectations regarding
the continuing development, commercialization and financing of its
fuel cell technology and business plans. 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,
changes to projected deliveries and order flow, changes to
production rate and product costs, general risks associated with
product development, manufacturing, changes in the regulatory
environment, customer strategies, unanticipated manufacturing
issues that impact power plant performance, changes in critical
accounting policies, 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.
About FuelCell EnergyFuelCell Energy, Inc.
(NASDAQ: FCEL) delivers efficient, affordable and clean solutions
for the supply, recovery and storage of energy. We design,
manufacture, undertake project development of, install, operate and
maintain megawatt-scale fuel cell systems, serving utilities and
industrial and large municipal power users with solutions that
include both utility-scale and on-site power generation, carbon
capture, local hydrogen production for transportation and industry,
and long duration energy storage. With SureSource™
installations on three continents and millions of megawatt hours of
ultra-clean power produced, FuelCell Energy is a global leader in
designing, manufacturing, installing, operating and
maintaining environmentally responsible fuel cell power
solutions. Visit us online at www.fuelcellenergy.com and
follow us on Twitter @FuelCell_Energy.
FuelCell Energy, and FuelCell Energy logo are all trademarks of
FuelCell Energy, Inc.
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Contact:FuelCell Energy203.205.2491ir@fce.com
Source: FuelCell Energy |
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