The stationary fuel cell sector continues to be the trail blazer for the entire fuel cell industry. Technology costs are continuing to fall, new companies are coming into the space and adoption is gathering steam in markets such as uninterruptible power supplies (UPS), combined heat and power (CHP), and residential power. Pike Research’s analysis indicates that unit volumes have experienced a compound annual growth rate (CAGR) of 27% between 2008 and 2010, and shipments will soon be in the tens of thousands per year. As such, stationary fuel cells are gaining increased attention and interest from a variety of stakeholders.

Early centers of adoption include Japan, Germany, and Denmark, particularly for residential CHP applications, and South Korea, the United States, and the United Kingdom are poised to be fast followers in this key application area. Another important application is large prime power fuel cells, which enable buildings to produce base load power. Commercial and industrial users are taking an increased interest in such fuel cells, driven by the public policy environment as well as concerns over grid stability and volatility in energy prices. These are just two of the application areas in a market that Pike Research believes is on the cusp of a significant growth spurt, and the firm expects that stationary fuel cells will become an increasingly normalized part of the energy generation mix in several key regions of the world.

This Pike Research report provides an in-depth analysis of the development of the stationary fuel cell sector since 2008, along with an examination of the market outlook through 2017. The study covers key business and technology issues, as well as an assessment of key industry players based on extensive primary research. Market forecasts are included for unit shipments, installed capacity and revenue, segmented by world region and application area.

Key Questions Addressed:

• What is the current state of the global stationary fuel cell sector?
• What is the market growth potential for the stationary fuel cell sector between now and 2017?
• What is the impact of the Japanese Ene-Farm project on residential fuel cell costs?
• Who are the key first mover companies in the UPS, mCHP and prime power spaces?
• How fast will the UPS sector grow between now and 2017?

Who needs this report?

• Fuel cell developers
• Fuel cell supply chain companies
• Independent power producers
• Fuel providers
• Large commercial and industrial energy users
• Telecommunications companies
• Utilities
• Government agencies
• Investor community

Table of Contents

1. Executive Summary

1.1   Introduction

1.2   Overview of Current Market

1.3   2011-2017

2. Market Issues

2.1   Trends and Drivers

2.1.1     Market 1: Base Stations and “Green” Telecoms

2.1.1.1     Key Drivers for Green Base Stations

2.1.2     Market 2: Residential Fuel Cell Use – The Home as a Hub

2.1.2.1     Trend 1 – Changing Role of the Home

2.1.2.2     Trend 2: Increase in High Energy Intensity Gadgets

2.1.2.3     Key Drivers for Residential Settings

2.1.3      Market 3: Fuel Cells for Non-Residential Use

2.1.3.1     Cost of Downtime

2.1.3.2     Policy and Legislation

2.3.3.2.1    Renewable Energy Heat Act (EEWG)

2.3.3.2.2    Combined Heat and Power Act (KWKG)

2.3.3.2.3    Callux – Development of Fuel Cell resCHP

2.1.3.3     Key Drivers for Non-Residential Settings

2.2   Market Developments:  2009-2010

2.2.1     Development by Electrolyte

2.2.2     Development by Region

2.3   Industry Structure

2.4   The Power of Partnerships

2.4.1     Denmark: Danish Fuel Cell Partnership

2.4.2     Japan: Ene-Farm Program

3. Technology Issues

3.1    Introduction

3.2    Background to the Technology

3.2.1      Differences Between Fuel Cells

3.2.2      Cost of Fuel Cell Systems

3.2.3      Types of Fuel Cells

3.2.3.1     PEM

3.2.3.2     SOFCs

3.2.3.3     PAFCs and MCFCs

3.3    Issues and Barriers to Full Commercialization

3.3.1      Keeping Costs Down

3.3.1.1     PGMs and REMs

3.3.1.2     Durability

3.3.1.3     Standardization

3.3.2      Market-Based Issues

3.3.2.1     Aligning the Product with Market Need

3.3.2.2     Codes and Standards

3.3.2.3     Lack of Market Awareness

3.3.3      Fuel Availability/Fuel Flexibility

4. Key Industry Players

4.1    Explanation of Headings

4.2    AFC Energy (AFC: Power Plants: United Kingdom)

4.3    Altergy Systems (PEM: Telecoms Backup Power: United States)

4.4    Ballard Power Systems (PEM: Smart Energy: Canada)

4.5    Baxi Innotech (PEM: resCHP: Germany)

4.6    Bloom Energy (SOFC: Prime Power: United States)

4.7    Ceramic Fuel Cells Limited (SOFC: resCHP: Australia/United Kingdom)

4.8    Ceres Power (SOFC: resCHP: United Kingdom)

4.9    ClearEdge Power (HT-PEM: resCHP/CHP: United States)

4.10  Dantherm Power (PEM: resCHP, Backup/UPS: Denmark)

4.11  Diverse Energy (PEM: Telecoms Prime Power: United Kingdom)

4.12  FuelCell Energy (MCFC: CHP/Power Plants: United States) and POSCO Power (MCFC: Power Plants: South Korea)

4.13  Fuji Electric (PAFC: CHP: Japan)

4.14  Hexis (SOFC: resCHP: Germany)

4.15  Hydra Fuel Cell (PEM: resUPS: United States)

4.16  Hydrogenics (PEM: Telecoms Backup Power: Canada)

4.17  IdaTech (PEM: Telecoms Backup Power: United States)

4.18  Intelligent Energy (PEM: resCHP: United Kingdom)

4.19  IRD (PEM / PEM: Residential / Portable: Denmark)

4.20  P21 (PEM: Telecoms Backup Power: Germany)

4.21    Panasonic (PEM: resCHP: Japan)

4.22    ReliOn (PEM: Telecoms Backup Power: United States)

4.23    Topsoe Fuel Cell

4.24    Toshiba (PEM: resCHP: Japan)

4.25    Trenergi (HT-PEM: resCHP: United States)

4.26    UTC Power (PAFC: CHP/Grid Strengthening: United States)

5. Market Forecasts

5.1    Explanation of Forecast Model

5.2    Forecast by Units and Megawatts Shipped: 2011-2017

5.3    Phase 1 and Phase 2 of the Market

5.4    Forecast by Revenue Generated and Region of Manufacture of Stationary Fuel Cells

5.5    Forecast by Region of Installation

5.5.1     Asia Pacific

5.5.2     North America

5.5.3     Europe

5.5.4     Africa

5.5.5     Latin America

5.5.6     Middle East

5.5.7     Summary

6. Company Directory

7. Acronym and Abbreviation List

8. Table of Contents

9. Table of Charts and Figures

10. Scope of Study, Sources and Methodology, Notes

List of Charts and Figures

• Stationary Fuel Cell Shipments by Market Sector, World Markets:  2009-2010
• Stationary Fuel Cell Revenue by Market Sector, World Markets:  2011-2017
• Stationary Fuel Cell Shipments by Market Sector, World Markets:  2009-2010
• Stationary Fuel Cell Revenue by Market Sector, World Markets:  2010
• Fuel Cell Shipments and Megawatts by Electrolyte, World Markets:  2010
• Development Focus of Companies by Electrolyte:  2010
• Region of Fuel Cell System Manufacturing:  2009-2010
• Region of Stack Manufacture:  2009-2010
• Industry Structure of Stationary Fuel Cell Companies:  2010
• Stationary Fuel Cell Unit Shipments by Market Sector, World Markets:  2011-2017
• Stationary Fuel Cell Unit Shipments by Application, World Markets:  2011-2017
• Stationary Fuel Cell Installed Capacity Comparisons by Application,  World Markets:  2011-2017
• Stationary Fuel Cell Total Installed Capacity by Application, World Markets:  2011-2017
• Stationary Fuel Cell Revenue by Market Sector, World Markets:  2011-2017
• Stationary Fuel Cell Revenue by Region of Manufacture, World Markets:  2011-2017
• Stationary Fuel Cell Unit Installations by Region, World Markets:  2011-2017
• Stationary Fuel Cell Driver Matrix
• Projected Annual Growth in Base Stations:  2007-2012
• Estimated Electricity Consumption by ICT and CE Equipment, Residential Sector:  1990-2030
• Change in Residential Energy Use by Application, United States:  1998-2008
• Percentage Change in Residential Energy Consumption:  1996-2006
• Residential CHP Development Map of the German National Development Plan
• Danish Micro Combined Heat and Power Demonstration Project:  2006-2012
• Platinum Loadings in PEM Fuel Cells:  2006-2015

List of Tables

• Downtime Costs by Industry:  2011
• Subsidy Available for mCHP Adoption in the Mini-KWK-Impulsprogramm, Germany: 2011
• R&D Resources for Residential Fuel Cell CHP, Germany: 2007-2015
• Stationary Fuel Cell Shipments by Application, World Markets:  2009-2010
• Stationary Fuel Cell Revenue by Application, World Markets: 2010
• Stationary Fuel Cell Unit Shipments by Electrolyte, World Markets: 2010
• Stationary Fuel Cell Megawatt Shipments by Electrolyte:  2010
• Development Focus of Companies by Electrolyte: 2010
• Region of Fuel Cell System Manufacturing: 2009-2010
• Region of Stack Manufacture: 2009-2010
• Fuel Cell Types, Classified by Electrolyte
• Overview of Issues and Barriers to Commercialization in Stationary Fuel Cells
• Fuel Cell Materials and Resource Locations
• Cost Analysis of PEM Stack at Various Levels of Manufacturing: 2010
• Stationary Fuel Cell Revenue by Market Sector, World Markets:  2011-2017
• Stationary Fuel Cell Unit Shipments by Market Sector, World Markets:  2011-2017
• Stationary Fuel Cell Revenue by Region of Manufacture, World Markets:  2011-2017
• Stationary Fuel Cell Unit Shipments by Application, World Markets: 2011-2017
• Stationary Fuel Cell Installed Capacity by Application, World Markets:  2011-2017
• Stationary Fuel Cell Unit Shipments by Region of Adoption, World Markets: 2011-2017
• Annual Growth Rates of Stationary Fuel Cells by Application, World Markets:  2011-2017