Replies to post #17353 on FuelCell Energy Inc (FCEL)

[M4dsc1]

More background on the Brookhaven Landfill project...

There is a comment back when the NYISO update for the project was moved to withdrawn that supports that the project would undergo a PSEG review rather than NYISO review.

There is the April 2019 PowerPoint slides from the Town of Brookhaven that support the project is still active and in a planning stage. There is the September 2019 update from PSEG for the FIT IV active PPA that states the project is still active.

So in a way, project is still good... But, if you look at some of the fine print for the FIT IV, and any required timeline for the project to reach COD the FAQ states:

39. What is the latest Commercial Operation Date (COD) that would be accepted?

There is no specific date for accepted generation projects to achieve COD. However, the Tariff, PPAs, and relevant interconnection procedures contain activity deadlines that require timely progress toward COD. The Authority may reject a bid for failing to make such timely progress. For instance, once notified of acceptance in the initial enrollment period, generation projects then must apply within 10 business days for interconnection to the Authority’s system under the Smart Grid SGIP or NYISO’s Small Generator Interconnection Procedures, as applicable. Projects must complete the interconnection process according to the schedule of the appropriate interconnection process. The Authority expects to execute a Fuel Cell or Solar PPA with the generation project owner shortly after execution of the Interconnection Agreement. The generation project must achieve COD within two years of PPA execution by all parties, unless a delay has been approved according to the provisions of the PPA. While the elapsed time from acceptance to required COD may vary, it typically would not take longer than 2 ½ to 3 years.

Shall we recall that the execution of the PPA was announced 12/20/2018. Clock is ticking.

FAQ Origin:https://www.psegliny.com/aboutpseglongisland/ratesandtariffs/tariffs/feediniv/-/media/9283558943e841e79aa05c1ae036ff4f.ashx