Constellation, a unit of Exelon Corp., and Bloom Energy struck an agreement to develop 40 MW of Bloom Energy fuel cell projects for commercial and public sector customers in California, Connecticut, New Jersey and New York.
Under the agreement, Constellation will provide equity financing and own a majority equity interest in Bloom Energy Servers at more than 170 sites for customers, including AT&T; the city of Hartford, Conn.; and Walmart among others. The projects require no upfront capital from customers, who will purchase the power generated by the fuel cells under 15-year power purchase agreements.
The portfolio of customer projects builds on Exelon’s 2014 equity investment in 21 MW of Bloom Energy Servers and supports the growth of Constellation’s distributed energy business, which has more than 300 MW of assets in operation or under development.
Through Constellation, customers of these projects also have the option to lock in competitive fixed rates for natural gas and electricity supply, and to implement energy conservation measures and other distributed energy options such as solar.
Constellation and Bloom Energy plan to complete the installations in phases by the end of 2016. When completed, the fuel cells will produce enough electricity to power the equivalent of more than 32,000 homes each year.