ANAHEIM, CA (October 21, 2004) - Anaheim Public Utilities, in partnership with Ice Energy, LLC, has installed and is evaluating the Ice BearTM, an energy storage device for air conditioners, at one of the city’s fire stations. The installation is one of the first of its kind in California. Anaheim Public Utilities was recently awarded a $10,000 grant for the project from the American Public Power Association’s DEED (Demonstration of Energy-Efficient Developments) program.

The Ice Bear, a recent winner of the World’s Best Technology Award, is produced by Ice Energy, a distributed energy storage company based in Fort Collins, CO. During off-peak hours, the Ice Bear uses a standard 5-Ton condensing unit to charge a thermal battery. During Anaheim’s peak hours (noon-6 p.m.), the condensing unit is automatically switched off, the thermal battery is activated and energy is provided to cool the fire station.

On-site monitoring has verified a peak demand reduction of 95 percent, from approximately 7,000 watts to 300 watts. The Ice Bear also improves overall energy efficiency, cooling reliability and comfort.

“During peak hours, the daytime demand for electricity to provide cooling for commercial and residential air conditioning is at its highest, and this is the most expensive energy to procure for our customers,” said Ken Noller, Interim General Manager for Anaheim Public Utilities. “Excess generation and transmission capacity exists at night, and the Ice Bear allows us to take advantage of those lower off-peak energy prices by shifting energy usage to the nighttime periods.”

“The Ice Bear is an ideal solution for the City of Anaheim and its customers since it slashes the peak electrical demand of air conditioning, one driver of summertime power emergencies in California,” said Greg Tropsa, President of Ice Energy. “We foresee a day when energy storage for air conditioners is as common as the water heater, the energy storage unit currently found in every building.”

Testing on the fire station’s Ice Bear will continue for a period of 90 days.

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About Anaheim Public Utilities
Anaheim Public Utilities, Orange County’s only publicly owned water and electric utility, has served Anaheim customers with low rates and reliable service for more than 100 years. In 2004, Anaheim Public Utilities is celebrating its 125th anniversary of delivering high-quality water to the city’s homes and businesses. For more information, please visit www.anaheim.net and click on Public Utilities under City Departments.

About Ice Energy
Ice Energy is a values based company whose vision is to unleash the off-peak potential of the world’s electrical grids and to serve the public good by reducing air pollution and mitigating the economic burden of meeting peak power demand. The company provides off-the-shelf Distributed Energy Storage products for air conditioning systems that slash on-peak electricity demand, boost efficiency and improve cooling, while saving customers money and easing the burden on the electrical grid. For more information, please visit www.ice-energy.com.

MEDIA CONTACTS:
Mike Ebbing, Anaheim Public Utilities, 714/765-4284
Randy Zwetzig, Ice Energy, LLC, 970/223-6138 x19

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About Anaheim Utilities
Anaheim Public Utilities, Orange County�s only publicly owned water and electric utility, has served Anaheim customers with low rates and reliable service for more than 100 years. In 2004, Anaheim Public Utilities is celebrating its 125th anniversary of delivering high-quality water to the city�s homes and businesses. .