FuelCell Energy closes funding for biofuel fuel cell project
FuelCell Energy, Inc. – a global leader in fuel cell technology with the goal of using its advanced fuel cell platforms to enable a world powered by clean energy – announced that the company has shut down on a Fair Tax Sale-Leaseback Financing Transaction for the 1.4 MW SureSource 1500 ™ Biofuel Fuel Cell Project with the San Bernardino Municipal Water Department (SBMWD) in California, United States , with Crestmark Equipment Finance (Crestmark), a division of MetaBank®. Crestmark’s commitment amounts to US $ 10.2 million through a 10-year sale-leaseback structure and further demonstrates market interest in FuelCell Energy’s differentiated ability to use biofuels on site, eliminate flaring and provide carbon neutral decarbonisation energy platforms.
“We are delighted to team up again with Crestmark and add this important financing solution that allows us to recycle capital for other clean energy and decarbonization projects and initiatives,” said Michael Bishop, vice-president. Executive Chairman and Chief Financial Officer of FuelCell Energy. “This is our second sale and leaseback financing transaction with Crestmark and we are delighted to expand our relationship with their organization. Crestmark has a deep understanding of the quality solutions provided by our products, including carbon neutral projects directly exploiting biofuels on site.
“Crestmark is delighted to support FuelCell Energy and its leadership team in the deployment of such an important, mission-critical application,” commented Jon Ellis, vice president of alternative energy finance at Crestmark. “Crestmark is focused on the alternative energy market and has designed targeted financing solutions for the industry. This project, and the scalable and renewable energy solution provided by FuelCell Energy, fits perfectly with our efforts in this industry. “
Highlights of the project include:
- The SureSource 1500 platform is co-located with the SBMWD water recovery plant and runs on the city’s anaerobic digestion gas, which is processed by FuelCell Energy’s proprietary SureSource TreatmentTM system, producing cleanly 24 hours a day. 24, 7 days a week, renewable carbon neutral electricity. The San Bernardino Fuel Cell Project has entered into a contract to sell the facility’s clean electricity to SBMWD under a 20-year power purchase agreement.
- The SureSource TreatmentTM system developed with FuelCell Energy’s extensive experience in on-site biogas treatment enables on-site cleaning of the biofuel and its use without injection into the common pipeline. Gas processing requirements are reduced compared to pipeline injection due to the ability of SureSource fuel cell systems to use low Btu biogas, which reduces costs and creates more value for the generator. biofuels. In addition, expensive pipelines to interconnect with common gas pipelines are eliminated.
- Beyond the obvious benefit of producing carbon-neutral electricity, the SureSource 1500 ™ platform uses biogas produced on-site as waste water treatment that would otherwise be vented or flared. This approach avoids wasted energy and the production of harmful local greenhouse gas emissions, thereby improving air quality. The platform converts biogas to hydrogen to produce clean, renewable energy, as well as thermal energy to support more efficient operation and conversion of sewage gas to biofuels at SBMWD.
- Serving a population of approximately 200,000, SBMWD supplies more than 15.5 billion gallons of water per year and collects and treats wastewater at the water collection plant. The use of waste gases to produce clean, carbon neutral renewable electricity and heat on site improves the sustainability of the installation by avoiding scope 1 and 2 emissions and reducing grid electricity consumption .
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Read the article online at: https://www.energyglobal.com/bioenergy/02092021/fuelcell-energy-closes-financing-for-biofuels-fuel-cell-project/