Toronto Hydro Selects Ice Bear Energy Storage to Reduce Peak Electrical Demand

Pilot funding provided by Ontario Power Authority’s Conservation Fund

WINDSOR, CO – September 22, 2010 – Ice Energy, a leading provider of smart-grid enabled, advanced energy storage solutions to the electric utility industry, today announced a new distributed energy storage pilot project with Toronto Hydro-Electric System Ltd. (“Toronto Hydro”) that, if successful, could help significantly lower summer peak electrical demand.

The pilot project is funded by a grant from the Ontario Power Authority under its Conservation Fund program, which supports the development of a reliable and sustainable electricity system by funding innovative conservation programs that can be scaled to achieve significant energy savings in the Province of Ontario.

By leveraging the benefits of more efficient nighttime power generation, storing it directly on individual buildings, and dispatching it during times of peak demand, Ice Energy’s Ice Bear energy storage solution enables utilities to use off-peak energy to meet daytime air conditioning demand, the single largest contributor to peak summer loads.

"It may surprise some, but the load profile of the Ontario province is extremely well suited for this type of energy storage,” said Chris Tomasini, regional manager for Ice Energy. “With its large, thermally-driven summer peak, and the potential to integrate substantial new generation from wind and solar, the Ice Bear solution can deliver immediate, measurable benefits to system.”

Electricity consumption represents 26% of all greenhouse gas emissions in the City of Toronto. As part of the City’s Climate Change Plan and in support of the Province’s efforts to phase out coal power generation, Toronto Hydro is aggressively pursuing conservation opportunities and developing programs to help customers conserve electricity and save money.

"This project aligns perfectly with our vision of efficiency and conservation,” said Chris Tyrrell, vice president and chief conservation officer for Toronto Hydro. “Ice Energy is providing a solution that would help to reduce the amount of peak power generated to meet air conditioning demand in the buildings where the system is installed.”

"Ontario is leading the way to a cleaner, reliable and sustainable electricity system, from our feed-in tariff program, to our Conservation and Technology Development Funds,” said Ben Chin, vice president of communications at the Ontario Power Authority. "The Conservation Fund provides a crucial forum for those harnessing the potential of innovative approaches to conservation, offsetting the future need to build expensive generation and giving Ontario a cleaner, greener tomorrow. We are proud to contribute to this successful project.”

The project will be rolled out on select commercial and industrial customer locations, including a flagship installation at the Toronto Zoo, during the fourth quarter of 2010.

ABOUT ICE ENERGY

Ice Energy is a leading provider of advanced energy storage and smart grid solutions to the electric utility industry. Founded in 2003, the company is dedicated to transforming energy system efficiency and improving grid reliability through the development of advanced technology solutions that promote the efficient use of energy resources, reduce our dependency on fossil fuels, and enable the transition to a cleaner, smarter, more sustainable power grid. The company is headquartered in Windsor, Colorado, with offices in Orange County and Sacramento, California. For more information, visit www.ice-energy.com or follow us on Twitter @ www.twitter.com/IceENRG.