The electricity generated by the Direct FuelCell(R) (DFC(R)) power plant is used to run some of the treatment plant equipment and the waste heat is used to produce hot water for the treatment facility.

"We can only be successful in our efforts to protect the environment if we have strong partners," said King County Executive Ron Sims. "We rely on the commitment and the innovation of leaders such as those we are honoring on Earth Day."

"We are extremely pleased to receive this prominent recognition, and we thank King County and the U.S. Environmental Protection Agency for their vision and innovation that has contributed to this project's success," said Herbert T. Nock, FuelCell Energy's Senior Vice President of Marketing and Sales.

FuelCell Energy was one of 14 businesses, groups and individuals that were honored during the special Green Globe Award Ceremony, the centerpiece of King County's Earth Day Expo activities in Seattle on Friday, April 22, 2005.

Wastewater Treatment Facilities - A Unique Opportunity

Industrial and municipal wastewater treatment facilities with anaerobic gas digesters present an important opportunity for FuelCell Energy. The methane generated from the anaerobic gas digestion process is used as fuel for the Company's DFC power plants, which in turn generates the electricity to operate wastewater treatment equipment at the facility. Moreover, wastewater treatment gas is a renewable fuel eligible for government incentive funding for project installations throughout the world. King County's DFC1500 power plant is one of the Company's eight carbonate fuel cell customer installations in the U.S. and Japan. In a market study conducted in 1998, the Company identified over 550 municipal wastewater treatment facilities in the U.S. that are capable of producing enough methane from anaerobic gas digestion to fuel a 250-kilowatt or larger DFC power plant.

About Direct FuelCells

FuelCell Energy's Direct FuelCells efficiently generate clean electricity at distributed customer locations, including municipal/industrial wastewater treatment facilities, telecommunications/data centers, hotels, universities, manufacturing, hospitals, prisons, federal and grid support. Direct FuelCells convert readily available fuels, such as natural gas or waste gas, to electrical power with greater efficiency than any competing technology of comparable size, including other fuel cells. This high-efficiency technology generates more electric power from less fuel in its size range and has the lowest emissions of any fossil based electric generating technology because the fuel is not burned. DFC power plants can be sited at or near users, and the heat byproduct can be used for cogeneration applications such as district heating, hot water or absorption chilling for air conditioning. Depending upon location, application and load size, the Company's DFC power plants in a cogeneration configuration can achieve an overall energy efficiency of between 70 and 80 percent. The sub-megawatt fuel cell power plant is a collaborative effort using Direct FuelCell(R) technology of FuelCell Energy and the Hot Module(R) balance of plant design of MTU CFC Solutions, GmbH, a subsidiary of DaimlerChrysler.

About FuelCell Energy, Inc.

FuelCell Energy, Inc., based in Danbury, Connecticut, is a world leader in the development and manufacture of high temperature fuel cells for clean electric power generation. The Company has developed commercial distribution alliances for its carbonate Direct FuelCell products with world class companies such as PPL Energy Plus, Caterpillar, Alliance Power, Chevron Energy Solutions and LOGANEnergy in the U.S.; Marubeni Corporation in Asia; MTU CFC Solutions in Europe; and Enbridge Inc. in Canada. FuelCell Energy developed its patented Direct FuelCell technology for stationary power plants with the U.S. Department of Energy through its Office of Fossil Energy's National Energy Technology Laboratory.

FuelCell Energy is also developing next generation high temperature fuel cell products, such as a diesel fueled marine Ship Service Fuel Cell, a combined-cycle DFC/Turbine(R) power plant and solid oxide fuel cells through its investment in and partnership with Versa Power Systems for applications up to 100 kilowatts. More information is available at http://www.fuelcellenergy.com.