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Press Release Archive

July 16, 2002 News Media Release

Austin Energy Eyes Fuel Cell Business

Austin Energy has set an ambitious course to establish itself as a nationwide resource in the permitting, installation and operation of fuel cells that may someday power businesses and homes across Texas and America.

Its research laboratory will be a state-of-the-art fuel cell installed at the Rebekah Baines Johnson (RBJ) Health Center located near the downtown. The fuel cell, which operates on natural gas, is the first commercial fuel cell in Austin and one of only a handful in Texas. It was manufactured by UTC Fuel Cells, a Connecticut-based unit of United Technologies Corporation, the same firm providing fuel cell technology for the Space Shuttle.

Fuel cells generate electricity through an electro-chemical process rather than by burning fuel. They operate virtually pollution and noise free. Because the waste heat they produce can be used to heat water for both the hot water and space heating needs of a building, fuel cells operating on natural gas produce more energy per unit of fuel than even the newest power plant technology - about 30% more energy.

"There are many technical and operational issues that must be solved before the widespread use of fuel cells will be possible," said Juan Garza, Austin Energy General Manager. "Austin Energy intends to take the lead in that research because we believe distributed generation (stand alone generation) will play a key role in the electric utility industry of the future."

The 200 kilowatt fuel cell at the RBJ Health Center began operating in mid-June. Currently the electricity it generates (power for about 140 homes) is being fed into the Austin Energy electric grid. In fact, it is the first fuel cell in Texas to feed power into the electric grid. Waste heat from the fuel cell is being used to heat water for the RBJ Center. This means the Health Center avoids the cost of operating natural gas-fired boilers to provide its own hot water.

"For instance, establishing the value of the waste heat is just one of many tasks this research will address," said Andy Ramirez, Senior Vice President, Power Production. "But this is a top-to-bottom project looking at everything from guidelines for site, building and fire code permitting to standards for connecting fuel cells into the electric grid to evaluating how fuel cells affect power quality on the electric grid, and down the line."

A side benefit to the harnessing of fuel cell waste heat to provide hot water and space heating (called co-generation) is a reduction of pollution from natural gas-fired boilers that were performing those duties.

"Fuel cells produce only trace amounts of Nitrogen Oxide (NOx) and Sulfur Dioxide (SO2) or about 80%-90% less than emissions from your typical boiler," said Larry Alford, Manager, Distributed Generation. "This is important to a community like Austin where there is an emphasis on the environment and quality of life."

The fuel cell at the RBJ Health Center is capable of providing most of the power needed by the Health Center, a five-story, 50,000 square foot building. The facility headquarters the public health and community care components of the Austin/Travis County Health and Human Services Department.

Austin Energy’s fuel cell was installed at a cost of about $1.2 million; $200,000 of which was provided through a U.S. Department of Defense grant. The Texas Legislature in its last session mandated that the State Energy Conservation Office, with input from a fuel cell advisory committee, determine what it would take to expedite the commercialization of fuel cells in Texas and report their findings to the upcoming Legislature. Alford represents Austin Energy on the fuel cell committee.

Engineering for the Austin Energy fuel cell installation was provided by DMJMH+N of California. The general contractor for the project was DPR Construction, Incorporated, which is headquartered in California but has offices in 17 cities, including Austin.

Austin Energy’s RBJ fuel cell site will be open to the public as a demonstration facility, with public tours and educational programs available. To arrange for a tour, call 322-6559.

-end-

For more information, contact Ed Clark, Public Information.
Phone: (512) 322-6514
Pager: (512) 802-2000

 
 
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