FuelCell Energy's Direct FuelCell (DFC) power plants are an economical solution for reliable, Ultra-Clean baseload power. State and federal incentive programs for purchasing and operating Ultra-Clean technologies such as DFC power plants make these products an attractive alternative to traditional power generation systems.

As the industry leader in fuel cell technology, FuelCell Energy is aggressively pursuing cost–reduction efforts in molten carbonate fuel cell power plants. The company also works closely with local governments to advance fuel cell technologies. States seeking to secure cleaner energy sources are legislating Renewable Portfolio Standards (RPS) to mandate that utilities provide a certain amount of their electricity from renewable sources such as solar, wind and fuel cells. Currently, 28 states have RPS laws on their books. 

The Energy Policy Act of 2005 provides substantial financial incentives for fuel cell power plants. Specifically, it grants a federal investment tax credit of 30% or $3,000 per kilowatt (whichever is lowest) of total project costs, as well as five-year accelerated depreciation. In California, the state’s Self Generation Incentive Program (SGIP) has awarded over $630 million in incentives to participants with over 1,300 projects successfully installed that produce over 350 MW of output.  The program relies on a match of private to public funds at a ratio of 1.4 to 1 and has become the largest Distributed Generation incentive program in the U.S. FuelCell Energy's Direct FuelCell^® (DFC^®) power plants meet emission requirements and qualify for the SGIP. In Connecticut, the Department of Public Utility Control approved 43.5 MW of projects that include FuelCell Energy DFC3000 power plants.  Project developers can now move forward to complete Energy Purchase Agreements with utilities and obtain financing.  Internationally, the South Korea Ministry of Commerce, Industry and Energy instituted a green energy program in 2006 that is providing incentives for environmentally-efficient power systems such as fuel cells. The company's manufacturing and distribution partner for South Korea, has a 100 MW capacity facility to build balance-of-plant for FuelCell Energy fuel cells.  Since 2007, POSCO Power has ordered over 68 megawatts of FuelCell Energy power plants.