ITM Power plc Injection of Hydrogen into the German Gas Distribution Grid 04 December 2013

RNS Number : 6226U

ITM Power PLC

4 December 2013

("ITM Power" or "the Company")

ITM Power (AIM:ITM), the energy storage and clean fuel company, is pleased to announce that, with its partners Mainova Aktiengesellschaft and NRM Netzdienste Rhein-Main GmbH, the Company has injected hydrogen into the German gas distribution network. The ITM Power rapid response electrolyser plant has been delivered and commissioned ahead of schedule and the compliance and permitting work has been completed to enable the incorporation of hydrogen via the compliant mixing plant.

According to an announcement made in Germany by the Thüga Group:

"During the current commissioning phase of the Thüga Group's power-to-gas demonstration plant, the system injected the first ever electrolytically generated hydrogen into the Frankfurt am Main gas distribution network. This represents the first ever plant to convert electricity into hydrogen and subsequently inject the hydrogen into the German gas distribution network. "The system worked as planned, so much so that we will go into trial operation in the very near future ahead of final commissioning at the start of 2014" Michael Riechel, Member of the Board of Thüga Aktiengesellschaft said.

By the end of 2016, the partners will have gained experience of how the system works under real-world conditions. The project partners are badenova AG & Co. KG, Erdgas Mittelsachsen GmbH, Energieversorgung Mittelrhein GmbH, erdgas schwaben gmbh, ESWE Versorgungs AG, Gasversorgung Westerwald GmbH, Mainova Aktiengesellschaft, Stadtwerke Ansbach GmbH, Stadtwerke Bad Hersfeld GmbH, Thüga Energienetze GmbH, WEMAG AG, e-rp GmbH and Thüga Aktiengesellschaft, which acts as project coordinator. The operational phase will be accompanied by scientific partners, whose involvement is being funded by the Hessian Ministry for the Environment, Energy, Agriculture and Consumer Protection.

H2 Injection without Compression

The core of the system is an ITM Power proton exchange membrane (PEM) electrolyser. The electrolyser converts electrical energy into chemical energy, which in turn facilitates the storage of electricity. A gas mixing plant ensures that the proportion of hydrogen in the natural gas stream does not exceed two per cent by volume, the technically permissible maximum value when a natural gas filling station is situated in the local distribution network. The electrolyser supplies the hydrogen-methane mixture at the same pressure as the gas distribution network, namely 3.5 bar. "We were thus able to avoid using a compressor and save costs," said Riechel.

The plant is located on the premises of Mainova Aktiengesellschaft in Schielestraße in Frankfurt am Main. The project partners decided to deploy a PEM system, as this technology, in comparison with alkaline systems, uses water rather than a potassium hydroxide solution, and is therefore more environmentally friendly. In addition, the system can respond more quickly to changes in the electrical load. A further advantage is the unit'scompact design (2.45m high, 6m long, 3.30m wide, weighing 10 tons). The power consumption of the electrolyser is 315 kilowatts. It produces about 60 cubic meters per hour of hydrogen and thus in one hour can feed 3,000 cubic meters of hydrogen-enriched natural gas into the network.

Power-to-Gas Project Platform

13 companies of the Thüga Group have combined their collective know-how and capital in a project platform to invest jointly in the development of power-to-gas storage technology. The focus is on testing the feasibility of power-to-gas technology. The companies are confident that in the long-term, this offers the greatest potential for storing excess renewable energy. To this end, the group is collectively developing, building and operating its own demonstration plant in Frankfurt am Main over a three-year period (2012 - 2016). The plant converts electricity into hydrogen and then stores this in the gas distribution network. Overall, the partners will invest more than EUR1.5m. The project is financially supported by the Hessian Ministry for the Environment, Energy, Agriculture and Consumer Protection. Following the first phase of this project, the partners will consider a second project, in which hydrogen will be generated and combined with carbon dioxide to form synthetic methane to be directly injected and stored in the natural gas grid. For more information see www.energie-und-wende.de."

ITM Power has deployed its PEM Electrolysis P2G plant at the Mainova Aktiengesellschaft site in Schielestrasse, Frankfurt am Main where the compliant gas mixing and grid injection infrastructure designed and built by NRM was already in place. This plant is part of the Thüga Group's Power-to-Gas (P2G) project as previously reported, which was jointly commissioned by 13 partners within the Thüga Group to investigate P2G energy storage. The install also includes a monitoring facility and visitor's reception so that members of the Thüga Group can examine the performance of the plant.

Phil Doran, MD of ITM Power GmbH commented: "ITM Power is delighted to be have performed the first ever injection of hydrogen into the German gas grid using a PEM electrolyser with our partners in the Thüga Group, and look forward to the official commissioning early next year."

Largest German State launches subsidy program for small power and heating products

RNS Number : 7162P

Ceramic Fuel Cells Limited

29 October 2012

Monday 29 October 2012

Ceramic Fuel Cells Limited (AIM / ASX: CFU) a leading developer of generators which use fuel cell technology to convert natural gas into electricity and heat for homes and other buildings, welcomes the launch of a subsidy scheme for micro combined heat and power products (mCHP) by the German State of North-Rhine Westphalia.

Under the new scheme the North-Rhine Westphalia Government will pay a capital subsidy to commercial customers and Energy Service Companies who install highly efficient mCHP products of less than 50 kilowatts, like Ceramic Fuel Cells' BlueGen and integrated mCHP products. Local energy utilities (Stadtwerke) are also eligible for funding under certain conditions.

Different levels of subsidy are available for various categories of mCHP products and related projects, depending on their level of efficiency, Innovation and carbon saving potential.

Based on discussions with the relevant Government bodies, the Company believes that its BlueGen and integrated mCHP products will be classed as highly innovative cogeneration systems, and therefore eligible for a subsidy of 45 percent of the extra cost of the product compared to a conventional reference product. The subsidy is increased by another 10 to 20 percent for small and medium sized businesses.

While the precise subsidy amount will be determined by the relevant Government department, and may vary between customers, the Company believes its products are likely to be eligible for an initial subsidy of approximately 10,000 Euros per unit.

The subsidy program begins immediately and is due to run until the end of 2017. The subsidy is part of a North-Rhine Westphalia Government funding program of up to EUR 250 million to support CHP deployment. The North-Rhine Westphalia subsidy is in addition to the German Federal Government subsidy of 1,650 Euros per BlueGen, plus the Federal Government feed-in tariff for mCHP products.

North-Rhine Westphalia is the most populous State in Germany, with a population of approximately 18 million people. Ceramic Fuel Cells employs approximately 30 staff at its volume manufacturing plant in Heinsberg, in North-Rhine Westphalia.

Mr Brendan Dow, Managing Director of Ceramic Fuel Cells, said:

"We welcome the North-Rhine Westphalia Government's subsidy program, which will help our breakthrough products become cost-competitive with older and less efficient existing products, and deliver real value to our commercial customers.

We expect this program to give a boost to our sales in the coming year, which in turn will drive higher production levels in our factory in Heinsberg and substantially lower product costs.

BlueGen is one of the few fuel cell mCHP products available in the market today, with almost 100 BlueGen and mCHP units installed and operating in Germany, delivering clean power and hot water for our customers and helping Germany make the transition to a clean energy future."

BlueGen units use ceramic fuel cells to turn natural gas into electricity - as well as heat for hot water - for homes, schools, offices and small commercial buildings. The peak electrical efficiency of BlueGen is up to 60 percent, far higher than any other small scale generating technology in the world. With the added benefit of heat, total efficiency is up to 85 percent.

Earlier this month Ceramic Fuel Cells announced that 25 of its BlueGen units are being used to power Germany's first commercial virtual fuel cell power plant. The virtual power plant was officially opened by Mr Peter Altmaier, Germany's Federal Minister for the Environment, Mr Johannes Remmel, Minister for the Environment in the state of North Rhine-Westphalia, together with Mr Bernd Wilmert, Chairman of the Board of the municipal utility network Trianel, and Sven Becker, CEO of Trianel. The Trianel network will offer BlueGen units to end customers as part of its EnergieBlock(R) micro combined heat and power offering.

Speaking at the official opening event, Mr Remmel, North Rhine-Westphalia's Minister for the Environment, said:

"North Rhine-Westphalia is the state for energies of the future and needs more utilities of the future for an accelerated energy transition. Combined heat and power [CHP] should play an important role in our federal state. Therefore, the state of North Rhine-Westphalia is planning a support programme for CHP of 250 million Euros. Our goal is to increase the CHP share of electricity generation to more than 25 percent".

Ceramic Fuel Cells and its local distributor sanevo blue energy are marketing BlueGen units to small commercial, Government and utility customers throughout Germany.