We are pleased to host Don Ayers – Director of Product Engineering for Capstone Turbine (CPST) – in our Water Tower Research Fireside Chat Series. Capstone Turbine Corporation is the world’s leading producer of highly efficient, low-emission, resilient microturbine energy systems. Capstone microturbines serve multiple vertical markets worldwide, including natural resources, energy efficiency, renewable energy, critical power supply, transportation and microgrids. Capstone offers a comprehensive product line-up, providing scalable systems focusing on 30 kWs to 10 MWs that operate on a variety of gaseous or liquid fuels, including natural gas, renewable natural gas, and hydrogen to provide solutions for distributed power generation needs. The company is pivoting its focus to further emphasize energy as a service (EaaS), which is comprised of growing its rental fleet and aftermarket service and components business described as a Factory Protection Plan (FPP). You can read our Initiation of Coverage Report HERE.
The topic of the Fireside Chat is the company’s strategy in the hydrogen economy. The hydrogen economy has gained substantial momentum over the past 12 months. Hydrogen is frequently used as a fuel in fuel cells, but can also be used a fuel for combustion based energy systems. Capstone has historically updated and modified its energy systems to have fuel flexibility. As hydrogen becomes more widely available, energy system will need to have flexibility to use it as a fuel. Hydrogen and especially green hydrogen, are positioned for meaningful growth in the coming years. As a result, Capstone needs to have a solution to capitalize on this trend. To date the company has shown in can run on a 20% hydrogen mix, but recently announced new Research & Development partnership with Argonne National Laboratory and ran a 70% hydrogen – 30% natural gas blend. This is a promising milestone leading 100% hydrogen. The real value sits in the broader context of fuel flexibility and providing a customer with options.
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