FuelCell Energy Inc. has acquired a 1.4-megawatt fuel cell power plant at Central Connecticut State University in New Britain for an undisclosed amount. Danbury-based FuelCell – which laid off 96 workers earlier this month – said the installation has been operating for approximately five years and generates over 11 million kilowatt hours annually.
The acquisition is being financed by a loan from Webster Bank to avoid an outlay of cash, according to FuelCell Senior Vice President and Chief Financial Officer Michael Bishop. “With this project, FuelCell Energy is now recognizing monthly electricity sales from five different projects,” he added, “which enhances our financial profile with approximately $7 million of contracted annual electricity sales and a portfolio weighted average power purchase agreement term of approximately 18 years.”
“This fuel cell project is saving the state money on operating costs, enhancing power reliability which is critical for the safety of our students, and helping to ensure our sustainability leadership as it supported the university as being acknowledged as an ‘exemplary Green institution’ by the Princeton Review,” added Richard Bachoo, chief administrative officer at Central Connecticut State University.