Scottish and Southern investing in fuel cell venture

Perth, Scotland-based power utility Scottish and Southern (LSE: SSE) said today that it would invest £1 million in a new fuel cell joint venture it formed with Loughborough, England's Intelligent Energy.

Scottish and Southern and Intelligent Energy, a fuel cell power systems company, plan to develop fuel cell-based combined heat and power, or CHP, systems for the light industrial, commercial and residential markets in the U.K. and Ireland.

"We are particularly pleased at commencing our commercial involvement in CHP fuel cell technology using Intelligent Energy's fuel cell and reforming expertise, which we believe is clearly suited to our business priorities in this future market," said Ian Marchant, CEO of Scottish and Southern Energy.

Scottish and Southern said the 50-50 joint venture will be called IE CHP.

Intelligent Energy's initial investment in the venture was not disclosed, but the companies said they would make phased investments in the business as it reaches certain milestones.

"Together, we have the potential to create a new and energy efficient product portfolio that offers a competitive choice to the consumer," said Henri Winand, CEO of Intelligent Energy.

Intelligent Energy's technologies include power generation, hydrogen generation, and a fuel cell motorbike, still under development.