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Delaware Support for Bloom Energy Draws Lawsuit from Connecticut

DOVER, Del. (AP) — A Connecticut-based fuel cell manufacturer is suing over Delaware's efforts to help another company establish a fuel cell manufacturing industry in Delaware.

The lawsuit was filed Wednesday in federal court in Wilmington by FuelCell Energy Inc. and Delaware resident John Nichols. It accuses Delaware officials of economic protectionism and discrimination in cozying up to California-based Bloom Energy.

Bloom Energy is building a manufacturing facility at a former Chrysler plant in Newark with $16 million in state incentives.

State officials also are allowing Delmarva Power to count electricity from Bloom's fuel cells toward its renewable energy requirements, even though the fuel cells will be powered by nonrenewable natural gas.

The lawsuit says Delaware is allowing Delmarva to force its customers to pay higher rates for their electricity simply to subsidize Bloom.

Don Rush is the News Director and Senior Producer of News and Public Affairs at Delmarva Public Media. An award-winning journalist, Don reports major local issues of the day, from sea level rise, to urban development, to the changing demographics of Delmarva.