Released on = November 23, 2005, 7:16 am

Press Release Author = Viswanathan Krishnan

Industry = Energy

Press Release Summary = Due to current transmission networks' inability to handle
excess demand, issues of losses and incurred costs as well as the concern about
power quality issues, expects to boost fuel cell-based power generation
technologies.

Press Release Body = Palo Alto, Calif. - November 23, 2005 - Due to current
transmission networks' inability to handle excess demand, issues of losses and
incurred costs as well as the concern about power quality issues, expects to boost
fuel cell-based power generation technologies.

The US Department of Energy estimates that the domestic requirement of additional
electric power is likely to touch 1.7 trillion kilowatt hour (kWh) in 2020. This is
three times the requirement during 1980 to 2000. It will be a significant challenge
for any power utility to accommodate such a large incremental load using only its
existing transmission and distribution network.

If you are interested in an analysis providing manufacturers, end users, and other
industry participants with an overview, summary, challenges, and latest coverage of
Fuel Cells for Stationary Power, send an e-mail to Trisha Bradley, North American
Corporate Communications, at trisha.bradley@frost.com with your full name, company
name, title, contact telephone number, contact fax number, and e-mail address. Upon
receipt of the above information, an overview will be e-mailed to you.

Distributed power generation is motivated by the reluctance of power companies to
invest in newer power plants due to the lack of returns and the widening gap between
the supply and demand of power.

"Enhancing or building new power plants could cause power utilities\' reserve margins
to exceed peak demand," says Frost & Sullivan Research Analyst Viswanathan Krishnan.
"This scenario can drive the distributed power generation sector, for which the fuel
cell technologies are considered the most appropriate for its various benefits such
as high energy conversion efficiency and its potential to offer reliable and quality
power."

Nevertheless, the development of these fuel cell technologies is restrained largely
due to high costs, complex designs, and fuel problems. The industry is optimistic
about resolving these issues with researchers and companies enthusiastically
developing innovative solutions for the inherent problems in the application of fuel
cells in stationary power.

For fuel cell technology to be effective commercially, technology developers must
devise strategies to reduce the costs of fuel cell systems. In stationary fuel cell
systems' stacks, minimizing the use of expensive materials lowers costs.

While one method to enhance fuel cell units' cost-competitiveness is to produce them
in large volumes, technology developers also need to focus on innovative and
economical ways to obtain hydrogen from hydrocarbons or from other sources to
increase the use of fuel cell-based systems.

In another cost-related issue, technology developers must ensure the availability of
hydrogen-rich natural gas to facilitate distributed generation applications as well
as to stabilize prices to drive greater uptake of the technology.

An important factor driving the industry is the growing concerns over the affect
fossil fuels have on the environment. This is motivating participants to look for
alternate power generation technologies. Leading research institutions and
companies prefer fuel cell-based power generation. The electrochemical conversion
of chemical energy to electricity in a fuel cell is a \"green process\".

"The elegant emission profile - emitting trace sulphur and nitrogen - makes these
technologies an ideal choice for stationary power applications," notes Krishnan.

Fuel Cells for Stationary Power is part of the Energy & Power Systems vertical
subscription service. It covers technologies such as phosphoric acid fuel cells
(PAFCs), alkaline fuel cells (AFCs), proton exchange membrane fuel cells (PEMFCs),
molten carbonate fuel cells (MCFC), and solid oxide fuel cells (SOFCs). It provides
technology challenges, market drivers, and restraints, as well as assesses
innovations and opportunities. The research service enables companies to align their
positioning strategies to benefit from these technologies. Executive summaries and
analyst interviews are available to the press.

Technical Insights is an international technology analysis business that produces a
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Fuel Cells for Stationary Power
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Contact:
Trisha Bradley
Corporate Communications - North America
P: 210.247.3870
F: 210.348.1003
E: trisha.bradley@frost.com

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Corporate Communications - Europe
P: +44 (0) 20 7915 7876
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E: magdalena.oberland@frost.com

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Corporate Communications - Asia Pacific
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Keywords in this release: fuel cells, stationary power, phosphoric acid fuel cell,
PAFC, alkaline fuel cell, AFC, proton exchange membrane fuel cell, PEMFC, molten
carbonate fuel cell, MCFC, solid oxide fuel cell, SOFC, electrochemical conversion,
sulphur, nitrogen, hydrocarbons, hydrogen-rich natural gas



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Contact Details = Trisha Bradley, Corporate Communications
Frost & Sullivan
210.247.3870
trisha.bradley@frost.com