American DG Energy Inc. has been awarded a $27.4 million contract to supply clean energy to multiple residential buildings located in New York.
Under the terms of the 15-year agreement, the company will install 14 combined heat and power (CHP) systems at multiple residential buildings. The CHP systems, totaling 1050 kW, will be owned and operated by American DG Energy.
American DG Energy offers clean electricity, heat, hot water and cooling solutions to hospitality, healthcare, housing and athletic facilities.
The company managing the New York properties—RY Management—will receive a discount on the energy produced by the CHP systems and reduce the emissions of its managed properties. The properties will pay only for the energy used and will avoid all capital, installation and operating costs. American DG Energy will also handle all service, maintenance and repair.
The specific CHP systems planned for the properties are expected to reduce the emissions of the properties by 4,386 tons of carbon dioxide each year. This reduction is equivalent to removing the carbon emissions of 724 cars each year, the company said.
Commenting on the deal, John N. Hatsopoulos, CEO of American DG Energy, said: "This is a very significant order for American DG Energy and it prepares us for a very exciting 2012. As the core piece of our strategy, the company continues to pursue large property holders to accelerate our growth with multi-property deals."
American DG Energy is headquartered in Waltham, Massachusetts.
