Capstone signs agreement with GESS for RNG projects

By Capstone Turbine Corp. | May 14, 2019

Capstone Turbine Corp., the world’s leading clean technology manufacturer of microturbine energy systems, today announced that it signed a long-term national account agreement with Green Energy Sustainable Solutions Inc.  As part of this agreement, Capstone secured an initial order for 9.6 MWs made up of 12 Signature Series microturbines complete with Capstone’s proprietary roof mounted heat recovery modules as well as Capstone’s PowerSync control platform.

The initial 9.6 MW order is the largest received by Capstone in over four years and is the largest order in the growing renewable energy market vertical in the company’s history. Payment terms will be secured by a letter of credit set up 30 days prior to each microturbine shipment, with shipments estimated to commence in early 2020 and conclude by the end of that year.

Since 1997, the GESS team has been offering customers custom designed and built, green energy and energy efficiency solutions worldwide. Providing solutions for over 21 years, GESS has completed over 350 projects worldwide. The initial biogas projects will be developed in six U.S. locations in Idaho, Missouri and North Carolina.

All projects will be covered by a comprehensive 10-year Capstone Factory Protection Plan. The Capstone FPP is a comprehensive maintenance program designed to give financial peace of mind to microturbine customers by providing product life cycle costs at a fixed rate for both scheduled and unscheduled maintenance for the life of the microturbine system.

The biogas for the projects will be developed utilizing pig manure, cow manure, and agricultural green waste. The biogas will be compressed and cleaned before being injected into the natural gas pipeline to create renewable natural gas (RNG) thereby creating a renewable fuel to provide a lower carbon environment and a clean energy future.

According to a 2018 Navigant Consulting report for Southern California Gas Co., replacing less than 20 percent of the traditional natural gas supply with RNG captured from sources like dairies, wastewater treatment plants and landfills can achieve greenhouse gas (GHG) emissions reductions equivalent to converting 100 percent of buildings in Southern California to electric only energy by 2030. And using a mix of in and out of state RNG is three times more cost-effective in reducing GHGs than an electrification pathway. 

“Capstone is excited to be partnering with GESS on the development of these biogas projects and helping create renewable natural gas as the fuel of choice in the new green economy,” said Darren Jamison, Capstone’s president and CEO. “Capstone’s strategy has been and will continue to be focused on strengthening our core markets while diversifying into additional market verticals like biogas and renewable natural gas. The recent growth in our product bookings indicates the improving conditions in the U.S. economy, as current industry fundamentals remain favorable across most sectors where our clean and green products serve,” Jamison added.

“The GESS team has spent years developing its biodigester solutions, securing the necessary land leases and manure rights to now be in a position to begin the large-scale rollout of U.S. based biogas and renewable natural gas projects,” stated Shaun Lee, CEO at GESS International. “I have long been a champion of the Capstone microturbine technology by installing my first Capstone C30 back in 1997,” Lee concluded.