Scale Microgrids Secures Financing To Deliver Reliable Electricity And Clean Heat From HyAxiom Fuel Cells
RIDGEWOOD, N.J.–(BUSINESS WIRE)–Scale Microgrids, a vertically-integrated distributed energy company, has acquired a 9.6-megawatt combined heat and power (CHP) fuel cell project in Bridgeport, Connecticut. The project, which is paired with a thermal loop, was acquired pre-construction from NuPower, an Easton, CT-based developer and investor in sustainable energy projects. Investec and MUFG will provide debt financing and Foss & Co will provide tax equity for the project, which Scale will finance as well as build, own, and operate over its lifetime.
HyAxiom, Connecticut’s largest fuel cell manufacturer, will fabricate, install, and operate the fuel cells for the project. These fuel cells will convert natural gas into hydrogen through an electrochemical process, generating combustion-free electricity as well as waste heat which will be captured for use in a 1.6 mile-long thermal loop in Bridgeport’s South end.
Julian Torres, Chief Investment Officer at Scale Microgrids, said:
This project is a terrific opportunity to deploy innovative clean energy technology to drive economic, reliability and sustainability outcomes in Bridgeport,
“We’re also proud to work with great in-state companies like NuPower and HyAxiom as we continue to expand our footprint in Connecticut more broadly.”
David Alonso, Chief Commercial Officer at HyAxiom, Inc, said :
HyAxiom is excited to work with Scale Microgrids and NuPower to deliver the very first multi-story fuel cell project of its kind in the US,
“We are confident that this facility will serve as the model for many for projects to come and look forward to working closely with Scale Microgrids.”
Fred Petit, Co-Head of Energy and Infrastructure Finance North America at Investec said:
We are proud to support Scale Microgrids in this transformative project, which not only enhances local energy reliability but also underscores our commitment to advancing clean energy solutions that benefit communities and the environment.
Bryen Alperin, Partner and Managing Director at Foss & Company, said :
Project Charter Oak is a huge step forward for us into cutting-edge technologies and microgrid systems,
“This deal highlights our expertise in managing complex projects like fuel cells and thermal loops, and closing it quickly sets the stage for even more exciting opportunities.”
Patrick Klein, senior originator and MUFG deal team lead, said:
MUFG is pleased to have worked with Scale Microgrids to take an important step forward for this innovative, important project for the City of Bridgeport.
“This transaction is another example of MUFG’s industry-leading global commitment to support clean energy and grid reliability.”
Scott Guilmartin of NuPower, said :
This project has been in development for 10 years. We appreciate the long and continued support of the Mayor, City Council and our legislative delegation,
The project will deliver multiple benefits to the local Bridgeport community and Connecticut more broadly. The thermal loop will supply heat and hot water for the University of Bridgeport, Approved Storage and Waste Hauling, and Bassick High School, reducing their operating costs and enabling them to cut their greenhouse gas emissions by a combined 8,000 tons per year. The reliability of the UI electricity grid will also benefit from the locally-produced baseload power.
Connecticut’s growing clean energy economy will also benefit from the project, which is expected to create roughly 100 jobs during its construction phase. A significant portion of the project contracting has been awarded to local MBE contractors. It also represents the largest U.S. project to date for HyAxiom, and it will fully utilize their South Windsor, CT-based manufacturing facility. Finally, it underscores Scale’s growing business in Connecticut, including its operations of the City of Bridgeport’s municipal microgrid and several battery energy storage system (BESS) projects under development across the state that will benefit schools and businesses.
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Scale Microgrids Secures Financing To Deliver Reliable Electricity And Clean Heat From HyAxiom Fuel Cells, source
