The agreement provides for down payments by Raser or its associated project entities to UTC Power. Raser began taking delivery of the UTC Power Systems ordered in 2007, in the fourth quarter of 2007 and all 200 units will reportedly be delivered by the end of this year.
UTC Power will also maintain these units. The geothermal power plants are expected to qualify for renewable energy credits and are also anticipated to be placed in service in time to qualify for production tax credits and other tax benefits provided under the Internal Revenue Code.
Jan van Dokkum, UTC Power’s president, said: The existing federal production tax credit for geothermal energy resources created a valuable incentive for the purchase and deployment of these units during this calendar year.
