FuelCell Energy, SDCL Connect for 450 MW Fuel Cell Power Plan

Why It Matters

The collaboration gives data‑center operators a scalable, low‑emission power source that eases grid pressure and supports the shift toward high‑density DC infrastructure, a critical need for the AI era.

Key Takeaways

• FuelCell and SDCL target 450 MW for data centers
• Molten carbonate fuel cells scale to multi‑megawatt
• Systems can run on biogas, natural gas, hydrogen blends
• Behind‑the‑meter DC power reduces grid strain
• Fuel‑cell market projected $18.6 bn by 2030

Pulse Analysis

The relentless expansion of AI and high‑performance computing is reshaping data‑center power strategies. Traditional grid‑fed electricity struggles to meet the surge in demand while maintaining reliability and carbon‑footprint goals. Fuel‑cell installations, especially those placed behind the meter, provide on‑site baseload that can be dispatched instantly, reducing peak‑load stress on utilities and offering operators greater control over energy costs. By delivering megawatt‑scale direct‑current (DC) power, FuelCell Energy’s solutions align with the industry’s move toward 800‑volt DC architectures, which promise higher efficiency and lower conversion losses.

FuelCell Energy’s molten carbonate fuel cells (MCFC) differentiate themselves through fuel flexibility and thermal integration. The units can combust natural gas, biogas, or blends containing up to 50 % hydrogen, and they capture waste heat to produce hot water or high‑pressure steam, boosting overall plant efficiency. Compared with Bloom Energy’s solid‑oxide offerings, MCFCs operate at lower temperatures, potentially extending component life and simplifying maintenance. Moreover, the ability to start with AC configurations and transition to DC without replacing power modules gives data‑center owners a migration path that protects capital expenditures while future‑proofing their power infrastructure.

The 450 MW partnership between FuelCell Energy and SDCL arrives at a pivotal moment for the fuel‑cell market. Research forecasts a more than three‑fold revenue increase by 2030, driven by demand across industrial, commercial, and data‑center sectors. Strategic alliances like this one accelerate technology adoption, improve financing options, and signal confidence to investors. However, analysts caution that execution risk remains; FuelCell must demonstrate measurable performance and cost advantages in real‑world data‑center deployments to win market share from entrenched players. Successful pilots could unlock a new era of resilient, low‑carbon power for the AI‑driven digital economy.

FuelCell Energy, SDCL Connect for 450 MW Fuel Cell Power Plan

Shane Snider, Senior News Writer, Data Center Knowledge · January 21, 2026

Connecticut‑based FuelCell Energy and UK investment firm Sustainable Development Capital (SDCL) have unveiled plans to deliver up to 450 MW of fuel‑cell power to support ballooning data‑center energy needs globally. The companies signed a letter of intent to collaborate on fuel‑cell solutions to boost power availability and resilience while reducing data‑center costs.

Citing the global build‑out of AI and high‑performance data centers, the firms said that behind‑the‑meter fuel‑cell generation can relieve pressure on the grid.

“As AI and high‑performance computing scale, power is no longer just about more capacity – it’s about a different architecture,” said Jason Few, president and CEO at FuelCell Energy. “With clear cost, efficiency and power‑density advantages, the industry is moving toward centralized, 800‑volt DC power for data centers.”

Few added that FuelCell Energy’s systems can deliver megawatt‑scale direct DC power behind the meter.

“Importantly, customers can deploy our systems today in AC configurations and transition to DC over time without replacing power modules, preserving flexibility as architectures evolve,” he noted.

Related: Fuel Cells: The Next Big Thing in On‑Site Energy for Data Centers?

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Fuel Cell Market’s Quick Charge

FuelCell Energy’s Molten Carbonate Fuel Cells (MCFC) are designed for multi‑megawatt outputs, creating a utility‑scale niche well‑suited to energy‑hungry data centers. Larger competitor Bloom Energy’s Solid Oxide Fuel Cells (SOFC) currently hold a significant presence in the data‑center market, with reported clients including Equinix and Oracle.

Research and Markets projects global fuel‑cell revenues to reach $18.6 billion by 2030, up from $5.6 billion in 2025, driven by demand for high‑efficiency, low‑emission power across industrial and commercial applications. The report highlights that companies are enhancing competitive strategies through partnerships, expansions, and technological advancements.

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Going Off the Grid

FuelCell Energy says its carbonate fuel‑cell systems deliver on‑site baseload power independently of the grid during normal operations. Two current configurations – rated at 2.5 MW and 1.25 MW – can run on biogas, natural gas, and natural‑gas/hydrogen blends with up to 50 % hydrogen. The company also claims its systems can generate hot or chilled water and high‑pressure steam to increase efficiency.

“We invest in energy‑efficient infrastructure that delivers long‑term value while supporting the evolution to a cleaner energy system,” said Jonathan Maxwell, CEO of SDCL. “Its flexibility and efficiency make it particularly attractive for data centers, where resilience and sustainability increasingly need to go hand in hand.”

Related: The Pros and Cons of Behind‑the‑Meter Energy for Data Centers

In a research note, Canaccord Genuity analyst George Gianarikas said that FuelCell Energy still needs to demonstrate competitive execution in the data‑center segment, calling for “proof that FuelCell’s data‑center initiatives will deliver tangible outcomes.”

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About the Author

Shane Snider is a veteran journalist with more than 20 years of industry experience. He has covered government, business, education, technology and more, and currently serves as a senior news writer for Data Center Knowledge.