FuelCell Energy, Inc. (FCEL) and its U.S. distribution partner, PPL Energy Plus, a PPL Corporation (PPL) subsidiary, today announced the installation of a clean and efficient Direct FuelCell(R) (DFC(R)) power plant for Ocean County Community College (OCC), a public, two-year community college in Toms River, New Jersey.

The dedication ceremony marked the completion of the installation, commissioning and testing of the DFC300A power plant, which will provide 250 kilowatts of electric power as well as heat, to several buildings on the campus. The DFC300A power plant will provide about 90 percent of the daily power requirements for OCC's Instructional Building, Lecture Hall and Nursing Arts Building. In addition, 20 percent of heating needs will be provided to those three buildings plus the Administration Building, Library, and the Robert J. Novins Planetarium.

"PPL and Ocean County College are at the forefront of recognizing that Direct FuelCell power plants can play and important role in meeting the energy needs of universities and schools," said Herbert T. Nock, Senior Vice President of Marketing and Sales of FuelCell Energy. "By locating the fuel cell next to the building, OCC is able to maximize the efficiency of the power plant by using both the electric power and the heat energy output. The clean and quiet nature of the fuel cell makes it possible to put the power plant at the customer's site."

"Bringing new 'energy' to the campus is one of our four strategic initiatives, which include enhancing the college's physical resources. The installation of this cutting-edge fuel cell technology is a literal application of this initiative, which will not only help the environment by providing clean energy, but will also save the college money through the efficient production and use of power and heat," explained Dr. Jon Larson, President of OCC.

"PPL is proud to supply Ocean County College with an efficient, reliable on-site DFC power plant," said Micheal E. Kroboth, president- PPL Energy Services Holdings. "Today's ceremony marks PPL's fifth customer installation of DFC power plants in the last 12 months."

PPL also has installed a fuel cell at the Coast Guard Station in Cape Cod, Mass.; the Sheraton Parsippany and Sheraton Edison hotels, both in New Jersey; and two fuel cells at Zoot Enterprises in Bozeman, Mont. Later this year, PPL will install a DFC300A power plant at the Sheraton New York Towers in Manhattan.

The DFC300A uses natural gas that will be supplied by New Jersey Natural Gas of Wall, N.J. Millennium Builders, a PPL subsidiary, was responsible for its installation.

The New Jersey Board of Public Utilities (BPU) provided $827,000 in funding to offset a portion of the initial capital costs of the project. The funding was available through the New Jersey Clean Energy Program, which helps encourage the installation of clean energy generation systems.

Universities are an excellent institutional application for FuelCell Energy's DFC power plants with their stable base load heat and power demand profile. FuelCell Energy has provided DFC300A power plants for two other university installations - Yale University in New Haven, Conn., and Grand Valley State University in Muskegon, Mich. In a 2000 study by the Energy Information Administration and Department of Energy, the estimated market potential for combined heat and power applications for universities/colleges/schools in the United States is approximately 19,000 megawatts.

FuelCell Energy has installed 30 DFC power plants at institutional, commercial and industrial applications throughout the world and has generated more than 33 million kilowatt hours at customer locations.

About Direct FuelCells

Direct FuelCells efficiently generate clean electricity at distributed customer locations, including hospitals, schools, universities, hotels and other commercial and industrial facilities, as well as in grid-support applications for utility customers. Direct FuelCells operate similar to large, continuously operating batteries except they utilize a fuel to generate electricity, such as natural gas or digester gas from wastewater treatment facilities. DFC power plants are hydrogen generators, and because of this are ready today and do not require the creation of a hydrogen infrastructure. This high-efficiency technology generates more electric power from less fuel and with less carbon dioxide emissions than traditional combustion methods. 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 hydrogen fuel cells for clean electric power generation, currently offering DFC power plant products ranging in size from 250 kilowatts to 2 megawatts for applications up to 50 megawatts.

The Company has developed commercial distribution alliances for its carbonate Direct FuelCell technology with MTU CFC Solutions in Europe; Marubeni Corporation in Asia; Enbridge Inc. in Canada; Caterpillar, PPL Energy Plus, Chevron Energy Solutions and Alliance Power in the U.S. FuelCell Energy is developing 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. More information is available at www.fuelcellenergy.com.

About PPL Corporation

PPL Corporation, headquartered in Allentown, Pa., controls about 11,500 megawatts of generating capacity in the United States, sells energy in key U.S. markets, and delivers electricity to nearly 5 million customers in Pennsylvania, the United Kingdom and Latin America.

The distributed generation arm of PPL provides on-site energy management through the installation of fuel cells, microturbines/turbines and engine power plants. During 2003, fuel cells were installed in New Jersey, Massachusetts and Montana. More information is available at www.pplweb.com.

This news release contains forward-looking statements, including statements regarding the Company's plans and expectations regarding the development and commercialization of its fuel cell technology. All forward- looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Factors that could cause such a difference include, without limitation, the risk that commercial field trials of the Company's products will not occur when anticipated, general risks associated with product development, manufacturing, integration of the Company's acquisition of Global Thermoelectric Inc., changes in the utility regulatory environment, potential volatility of energy prices, rapid technological change, and competition, as well as other risks set forth in the Company's filings with the Securities and Exchange Commission. The forward- looking statements contained herein speak only as of the date of this press release. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statement to reflect any change in the Company's expectations or any change in events, conditions or circumstances on which any such statement is based.

Investor and Media - Steven P. Eschbach, CFA of FuelCell
Energy, Inc., +1-203-825-6000, seschbach@fce.com