Constellation, a subsidiary of Exelon Corporation, and Bloom Energy today announced an agreement to develop 40 megawatts (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.
“Bloom Energy and Constellation are ideally suited to work together to deliver reliable and cost-effective energy solutions to customers,” said Bill Thayer, executive vice president of sales at Bloom Energy. “This new portfolio continues to extend the benefit of Bloom’s technology to a wider range of customers.”
Hartford Mayor Pedro E. Segarra said, “The City of Hartford benefits from this partnership by creating Connecticut’s first public-private microgrid. It will ensure that essential services in our Parkville neighborhood, including an elementary school, senior center, library branch, gas station and supermarket, remain operational during power outages. Utilizing fuel cells also provides power in a cost effective manner while increasing Hartford’s use of clean energy sources.”
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.
Bloom Energy Servers use solid oxide fuel cell technology to produce electricity from natural gas.