Ceramic Fuel Cells Limited (CFCL), a global leader in fuel cell development, and E.ON, have extended their agreement to further develop and deploy fuel cell micro combined heat and power (mCHP) units in Great Britain .

Under the terms of the new agreement, E.ON and CFCL will collaborate on a joint development project to commercialise mCHP units designed specifically for the Great Britain market, based on CFCL's GENNEX fuel cell module. The commercialisation project is currently scheduled to run from 2009 to 2012 in a number of stages subject to performance criteria, with the Great Britain market launch expected to follow thereafter.

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Subject to CFCL's achievement of agreed price and performance targets, E.ON and CFCL have agreed a potential future order profile, which would secure 'E.ON's exclusive distribution rights for CFCL micro CHP units within Great Britain. A minimum order of 100,000 units over six years from 2012 would be required for E.ON to continue to retain exclusivity.

Charles Bradshaw-Smith, Head of Innovation at E.ON, said: "The agreement with CFCL reflects two years' hard work to achieve a unit with a technical performance that has met all our targets. We are now pleased to commit funding and resources, subject to the attainment of agreed milestones, to roll out a commercial unit, building on CFCL's market-leading technology. This technology signals that cleaner, more cost-effective energy in the UK home is closer than ever before."

(CD/JM)