ORLANDO, Fla. & ESSEN, Germany, Aug. 3, 2001 — Siemens Westinghouse Power Corporation and RWE announced today that the world’s longest operating high temperature fuel cell power system, the 100 kW solid oxide fuel cell (SOFC) co-generation system has successfully begun a new period of operation at a new site in Essen, Germany.

The 100 kW system has been installed at the Fuel Cell Pavilion at the Meteorit Park site in Essen owned by RWE, Germany’s largest electric power supplier.

The system is currently delivering 110kWe AC to the grid, and will soon be connected to a hot water heat recovery system to make use of the system’s exhaust heat. RWE plans to run the system until shortly before it takes delivery from Siemens Westinghouse of a larger SOFC system, a 300 kW SOFC/gas turbine hybrid prototype in 2002.

This system will be installed at the same location and will be operated by an RWE consortium.

The 100 kW solid oxide fuel cell cogeneration system was originally located in Westervoort, the Netherlands, where it ran without any performance loss. The system was installed at the Essen site without any modification to the cell module or balance of plant for further testing and operation. The US Department of Energy provided funding for moving the 100 kW system to Essen.

“We are delighted with the performance of the 100 kW cogeneration system in the Netherlands and look forward to a second successful period of operation at RWE in Essen,” said Thomas Voigt, President of the Stationary Fuel Cells division of Siemens Westinghouse. “It’s important to demonstrate long life and steady performance to provide confidence in our future products,” he added.

“Fuel cells promise to be a high potential business,” said Manfred Remmel, chief executive officer of RWE Plus. “We expect the decentralized production of power to grow up to 30 percent by 2015. Fuel cells will play an important role within this development. RWE aims to provide fuel cell solutions for its various customer groups and is investing in a broad range of research and development activities. One important step in getting experiences in operation of fuel cells will start with the 100 kW SOFC System of Siemens Westinghouse.”

A solid oxide fuel cell operates on the same principles as a battery — it electrochemically produces electric current from the chemical energy in a fuel- and does so efficiently and with nearly zero emissions. The 100 kW system was developed and manufactured by Siemens Westinghouse under a cooperative agreement with the U.S. Department of Energy (DOE) through its National Energy Technology Laboratory. Siemens Westinghouse plans to make first commercial delivery of SOFC systems in late 2003.

Siemens Westinghouse Power Corporation, headquartered in Orlando, Florida, is the regional business entity in the Americas for Siemens Power Generation’s global fossil power generation business, which has an installed fleet of nearly 550,000 megawatts worldwide.

RWE is today one of the international Multi-Utility companies. Its core businesses are electricity, natural gas, water, waste management and services. In financial year 2000/2001, the RWE Group’s 172,000 employees worldwide generated sales of 62 billion (based on preliminary figures). Under the management of the Group’s holding company, twelve major subsidiaries are responsible for market operations.