Avista Labs, Spokane, WA, gets deal for its fuel cells

Fuel cells made by a Spokane company will be used to provide backup power to government communications equipment in 18 states under an agreement signed Thursday.

Alison Boggs
Staff writer

Avista Labs announced its agreement with havePOWER, a Maryland company that distributes, installs and services fuel-cell products designed for the telecommunications industry.

"We see tremendous growth potential with these types of applications, and they (havePOWER) have the experience and expertise to serve this market," said Avista Labs CEO Mike Davis.

The agreement provides exclusive marketing rights to havePOWER of Avista Labs’ fuel cells for specific government communications requirements in 18 states. In turn, havePOWER will purchase a minimum of 40 kilowatts of fuel cells in 2003, 260 kilowatts in 2004 and 400 in 2005. The contract runs through 2006.

Avista Labs would not divulge the value of the contract but said havePOWER received a volume discount. Avista Labs’ one-kilowatt fuel cell system costs $8,050.

Fuel cells are lauded as a nonpolluting way of producing electricity. Hydrogen pumped into the fuel cell goes through an electrochemical reaction that produces energy. The only byproducts are heat and water.

Currently, havePOWER has a contract with the state of Maryland, specifying use of Avista Labs technology at its wireless sites and anticipates the first of several installations will be this month.

"These installations are very critical real-world applications," said Avista Labs spokeswoman Sandra Saathoff.

Specifically, the fuel cells will provide backup power to high-frequency radio sites for state, county and municipal governments. The sites transmit data for phone, facsimile, video and computer networks.

"These applications provide emergency communications for government entities," said George Milne, havePOWER chief operating officer, in a news release. "That makes reliability all the more critical, especially in these uncertain times."

The reliability of Avista Labs’ fuel cells is touted because the systems can be serviced with no interruption in power.

Avista Labs is a subsidiary of Avista Corp., which has said it hopes to sell 80 percent of the fuel cell company within the next few months. Despite its momentum, Avista Labs does not expect to be profitable until 2005.

http://www.spokesmanreview.com/news-story.asp?date=050203&ID=s1344328&cat=section.business

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Fuel cells get Senate-panel boost

Legislation that passed the Senate Commerce Committee Thursday urges the Federal Aviation Administration to replace airport backup power systems with more efficient, cost-effective and environmentally friendly technologies, such as fuel cells.

"Reliable power at our airports and military air bases is critical to the economy and national security. Even the smallest delay can cost airlines millions of dollars and threaten the readiness of the nation’s military," said Sen. Maria Cantwell, D-Wash., who authored the amendment to the FAA authorization bill, which guides aviation policy.

Cantwell’s amendment creates a program in which the Department of Transportation would work with the departments of Defense and Energy to develop cleaner, more cost-efficient technologies.

The FAA authorization bill will be heard next by the full Senate.

http://www.spokesmanreview.com/news-story.asp?date=050203&ID=s1344395&cat=section.business