The state of Delaware is betting taxpayer money on a California fuel cell company that plans to open a factory on the site of the old Chrysler assembly plant in Newark, create 900 jobs and pump new electricity into the power grid.
Delaware utility regulators on October 18 approved a plan to bill customers of utilityDelmarva Power to build a factory for Silicon Valley fuel cell startup Bloom Energy.The company says its natural gas-powered Bloom Box fuel cells will generate 30 megawatts of electricity in the state.Greentechmedia said the decision was a "coup" for Bloom since Delmarva will be raising more than $100 million over 20 years to help finance the project. That equates to a $1.34-per-month surcharge on customer bills. Delaware is also providing $18 million in state incentives, and the project is seeking a federal cash grant for renewable power projects.Greentechmedia reports:
Governor Jack Markell was ebullient in announcing Bloom's plans back in June.
Delaware utility regulators on October 18 approved a plan to bill customers of utilityDelmarva Power to build a factory for Silicon Valley fuel cell startup Bloom Energy.The company says its natural gas-powered Bloom Box fuel cells will generate 30 megawatts of electricity in the state.Greentechmedia said the decision was a "coup" for Bloom since Delmarva will be raising more than $100 million over 20 years to help finance the project. That equates to a $1.34-per-month surcharge on customer bills. Delaware is also providing $18 million in state incentives, and the project is seeking a federal cash grant for renewable power projects.Greentechmedia reports:
Bloom hasn’t put a price tag on the project yet, but it has touted the potential economic benefits for Delaware -- up to 900 jobs at its factory and an estimated $300 million in annual economic activity. That’s boosted project backers against critics who worry that Bloom’s projects won’t come off in time or on budget. One conservative critic has testified that the cost to Delmarva ratepayers could reach as high as $3 to $4 a month if Bloom and the utility can’t maximize the value of their “Bloom Electrons” in markets for renewable power. For its part, Bloom has agreed to pay Delaware a fine as high as $41 million if it fails to build the factory.
Governor Jack Markell was ebullient in announcing Bloom's plans back in June.
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