Across the country, utilities and businesses looking for increased reliability, support for grid energy, or even grid independence are turning to distributed generation-usually in the form of fuel cells or microturbines.

Large metropolitan utilities, rural electric cooperatives, and those in between are exploring distributed generation options. And their numbers continue to increase as energy supplies tighten and technology advances.
A November report from Chartwell, Inc., found more than 100 energy companies that already have relationships with vendors or manufacturers of distributed generation technologies.

Chartwell reports companies that previously viewed distributed generation as a threat now see it as an opportunity. And Western customers are no exception. Two Western customers are participating in a fuel cell program sponsored by New Energy Services Cooperative, or ECO. Another is participating in an American Public Power Association demonstration project.

LaPlata Electric Association
LaPlata Electric Association in southwestern Colorado is looking into using fuel cells in remote locations. Small, quiet, and reliable, fuel cells eliminate the need to install distribution lines that serve only one or two loads. Line extensions are expensive, making the fuel cell an economic option.

LPEA is considering becoming a distributor for a fuel cell developer that partners with ECO. The co-op would spend $27,400 to become sole distributor of the systems in southwest Colorado. LPEA would sell 10-kilowatt fuel cell units for about $8,000, but the price is expected to drop over the next few years.

Corn Belt Electric Cooperative
In Iowa, Corn Belt Electric Cooperative is also partnering with ECO. A committee of representatives from Corn Belt member co-ops is guiding the project to test fuel cell technology. A test plant has been installed at the Duncombe, Iowa, home of Prairie Energy Cooperative members Don and Cheryl Christopherson.

Anaheim Public Utilities
Farther west, Anaheim Public Utilities received a $35,000 grant from the American Public Power Association's Demonstration of Energy-Efficient Developments. The funds will finance an implementation strategy to determine when distributed generation works best as a supplement to the utility's peak load.

Under the plan, the utility would own and operate distributed generation at a specified customer's load. It would give the customer reliable backup generation, and the utility could operate the unit during periods of peak demand to offset higher market power.

The DEED grant will pay for the distributed generation monitoring equipment and provide contract services for data analysis to find the operating schedule that makes the best sense financially.

Other Western customers are also exploring the potential of distributed generation as an addition to their resource mix. It's another way they're keeping the power flowing.