en.Wedoany.com Reported - FuelCell Energy, Inc. has entered into a strategic agreement with infrastructure developer Fit Energy USA LP to provide up to 380 megawatts of baseload onsite power for the data center projects of the latter's computing company.
Under the agreement, FuelCell Energy will receive a deposit for an initial 30 megawatts of power, with delivery to Fit Energy's AI and data center campus expected to begin later this year. In this arrangement, Fit Energy acts as a customer purchasing FuelCell's hardware and directly supplies electricity to end-user AI data centers under an Energy-as-a-Service (EaaS) model.
Under the EaaS model, data center operators can access FuelCell's power solution technology through periodic or pay-per-use payments, while Fit Energy assumes the initial capital investment for purchasing and deploying power generation assets.
Jason Few, President and CEO of FuelCell Energy, stated in a release that the company has engaged with multiple potential customers in the digital infrastructure sector, and Fit Energy stood out for its commitment to providing "Energy-as-a-Service" power solutions for communities and the environment. The agreement further validates the company's decision to scale operations to 500 megawatts to maintain the ability to serve a broad and growing customer pipeline.
Fit Energy's platform is designed to meet high-power demands and integrates with FuelCell Energy's utility-scale systems in a hybrid model. This strategy combines electrochemical carbonate fuel cells (providing carbon-free baseload power) with natural gas turbines, supporting behind-the-meter, microgrid, and grid-connected configurations.
Through this deployment, the two companies aim to balance the round-the-clock background power demand of AI servers with Fit Energy's natural gas turbines, creating a hybrid bridge to address rapid surges in energy demand. Fit Energy seeks to alleviate grid bottlenecks in digital infrastructure demand while focusing on long-term ownership of power generation assets.
Joel Leonoff, CEO of Fit Energy, stated that this partnership will help support the power foundation required for "next-generation AI infrastructure," noting that FuelCell Energy's technology aligns with the company's growth goal of providing gigawatt-scale behind-the-meter power solutions for data centers.
The shift to fuel cells is expected to help address concerns among residents nationwide, including environmental advocates, regarding potential water consumption and local air quality impacts. Fuel cells generate electricity through an electrochemical process rather than fuel combustion, helping to reduce site nitrogen oxide (NOx) emissions by approximately 92% in some cases.
The developer of "Project Jupiter," a giant AI data center campus under construction in southern New Mexico, has announced that they will abandon gas turbines and diesel generators in favor of fuel cells to reduce site emissions and water usage.
