OREANDA-NEWS. SSE has backed a fuel cell start-up developing smart power units, or 'mini power stations', which use mains gas to generate electricity and hot water in homes.

IE-CHP, which is based in Bellshill, North Lanarkshire, has raised £800,000 in funding for the device that could transform the UK power market.

Supporters also include Intelligent Energy and the Scottish Investment Bank.

Ecuity estimates that smart power units are suitable for 90% of UK households and small businesses, totalling around 22 million properties.

SSE head of ventures Derrick Allan said: “The energy efficiency and network benefits the smart power units provide will bring benefits to both consumers and suppliers alike.

“Additional testing and development over the next 12 months will only enhance and further validate its important role in UK households in the coming years.”

“The attraction for consumers and energy utilities is enormous and we welcome the strong backing from SSE, Intelligent Energy and Scottish Enterprise, who recognise the potential of IE-CHP's approach,” added Bugler.

The fuel cells work by taking mains gas and converting it into hydrogen, which then feeds into a hydrogen fuel cell stack. The fuel cell converts the hydrogen into low-cost electrical power and heat, both of which can be used by the home.

“IE-CHP's smart power technology works with existing boilers,” said IE-CHP technical director Mark Bugler.

“This makes it much easier to install in people's homes than was possible with earlier approaches and opens up a potentially enormous UK market.”

“The attraction for consumers and energy utilities is enormous and we welcome the strong backing from SSE, Intelligent Energy and Scottish Enterprise, who recognise the potential of IE-CHP's approach.”