<p>Ceres said that it will design and build initial prototype products that will be available for evaluation during 2008 and 2009. The prototypes will combine Ceres' fuel cell technology, which converts gas into electricity, with batteries, in a hybrid format. <br /><br />EDF Energy Networks will be funding the project through Ofgem's Innovation Funding Incentive. The UK subsidiary of French utility EDF will pay over GBP600,000 to Ceres, which is equal to a 50% share of the GBP1.2 million costs of the first phase of the program.<br /><br />Ceres commented that the initial users are expected to be vulnerable customers for whom the security of a dependable home power supply in the event of grid interruption is extremely important. There are over 100,000 such customers on EDF Energy Networks' register for priority services.<br /><br />Paul Cuttill, COO of EDF Energy Networks, which provides power to a quarter of the UK's population via its distribution networks in London, the south east and the east of England, commented: This program illustrates EDF Energy's commitment to working towards a sustainable future. The Ceres technology offers an excellent way of doing this.<br /><br />Reuters has reported that Ceres is also developing domestic fuel cell boilers in collaboration with British Gas.</p>