Developer of fuel cell-based power generation systems, Ceramic Fuel Cells Limited has announced that home heating manufacturer Paloma will install one of its ‘BlueGen’ power and heating units in its warehouse and sales office in Sapporo, Japan.

Under the agreement with Paloma, Ceramic Fuel Cells will supply a BlueGen unit for a 12 month demonstration, beginning in the first quarter of 2010. BlueGen will be connected to the existing Japanese natural gas pipeline and the power grid.

Ceramic says that BlueGen is the latest breakthrough in small scale electricity generation – about the size of a dishwasher, each unit can produce up to 17 MWh of power a year, twice the electricity needed to power an average home. Surplus electricity can be sold back to the grid.

In September 2008 Ceramic Fuel Cells installed a demonstration system at Paloma’s facilities in Nagoya. The unit was successfully operated on one fuel cell stack for the agreed six month trial, until the end of March 2009. Ceramic is also deploying fuel cell products with utility customers and appliance companies in Germany, France and the UK, says the company.