NASDAQ: FCEL FuelCell Energy, Inc. Annual Meeting of Shareholders March 26, 2009

Safe Harbor Statement This presentation contains forward-looking statements, including statements regarding the company's plans and expectations regarding the development and commercialization of fuel cell technology. All forward- looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected. The forward-looking statements speak only as of the date of this presentation. The company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statements to reflect any change in the company's expectations or any change in events, conditions or circumstances on which any such statements are based.

Fiscal 2008 Achievements Doubled revenues to $100.7 million More than doubled product backlog to $87.6 million Secured largest order in our history from POSCO Power Leading provider in California wastewater treatment market Conn. DPUC approved 16.2 MW of DFC projects Completed Phase I of DOE SECA program Secured $30.2 million Phase II DOE SECA program award DFC1500 at Pepperidge Farm

Revenues and Backlog

Markets 65 MW installed/backlog –Japan/Korea: 42 MW –California/West Coast: 15 MW –Northeast/Canada: 4 MW – Europe: 2 MW Targeted applications – Grid Support: 39 MW – Renewable/Wastewater: 9 MW – Manufacturing: 6 MW – Hotels: 3 MW – University & Hospitals: 2 MW – Government: 3 MW – DFC-ERG 1 MW Multi-MW and RPS Markets Conn. Project 150 Rounds 2 and 3 POSCO Power agreement targets multi-MW potential in South Korea Backlog + Installed Base

Cost Reduction Progress Approximately 85 percent cost reduction since proof-of- concept 2 MW plant Completed new cost-reduced design for MW-class products Incorporates new 350 kW stack – 17 percent power increase Improved raw materials and components pricing Begins production in July 2009 Expected to be our first gross margin profitable power plants Tape casting operations

DFC3000 Cost Savings 1 st gross margin profitable MW-class units will be manufactured starting in July 2009 Captured Cost Reduction from Technology Uprate 20% Value Engineering 54% Supply Chain Management 13% Service Process Improvement 4% Manufacturing Process Improvement 9% Future Cost Reductions to Less Than $2000/kW Value Engineering & Mfg. Process Improvement 21% Power Uprate 29% Volume Related Manufacturing Improvement 14% Volume Related Sourcing 14% Global Sourcing 22%

Our product costs are declining while grid power costs are increasing Cost of Electricity

Why Fuel Cells? 66% of the world’s electricity was from fuels in Wind and solar are providing less than 2% of total electricity due to intermittent nature² Environmental needs driving ultra-clean power generation solutions Ability to reduce energy cost and CO2 is dependent on increasing energy efficiency… 1. Energy Information Administration, “International Energy Outlook 2007, p International Energy Agency, Key World Energy Statistics 2007, p. 24. Global demand for electric power expected to grow from 16.4 to 27.1 trillion kWh by 2025¹

DFC power plants offer the highest efficiency of any distributed generation technology High Electrical Efficiency Fuel to Electrical Efficiency 60% 40% 20% 30% 50% 10% Micro- turbines 25 – 30% Small Gas Turbines 25 –35% Natural Gas Engines 30 – 42% DFC-ERG DFC/Turbine 58 – 65% Direct FuelCell (DFC) 47%

INTEGRATED SYSTEMS IMPROVE EFFICIENCY DFC % DFC-ERG % DFC/T % DFC-H % DFC --- CHP 60-80% Application Diversity Diversity of Fuels plus High Efficiency = High Sustainability FUEL RESOURCES NATURAL GAS METHANOL ETHANOL PROCESS METHANE BIOGAS COAL GAS

2009 Focus: South Korea South Korea’s incentive program requires electricity be put directly on the grid, encouraging MW-class installations South Korea initiated $38 billion Green New Deal in 2008 Fuel cells were named the number two economic driver for the country POSCO Power has ordered over 30 MW of power plants, almost all MW- class 50 MW balance-of-plant facility opened in September 2008 POSCO Power balance-of-plant facility in Pohang, South Korea World’s 1 st DFC3000 Installation in Korea

2009 Focus: California Large installed base at end-user sites Utilities expected to adopt –Distributed generation is easier, faster and less costly than building large central generation California is a leader in clean energy deployment Coal and nuclear power generation not welcome AB32 strictly regulates greenhouse gases Self-Generation Incentive Program allows MW-Class power plants 55 percent of electricity generation in California is from natural gas 1 MW at California State University, Northridge

2009 Focus: Connecticut Connecticut has Renewable Portfolio Standard –Utilities must buy 27% of peak electricity consumption, about 1,000 MW, from clean generation by 2020 –Funded RPS requires 150 MW near-term 16.2 MW of DFC projects approved in Round MW of DFC projects approved in Round 3 draft: –Final decision due April MW DFC1500 at Pepperidge Farm Bakery in Bloomfield, CT

2009 Focus: Wastewater Market ~50 percent of FuelCell Energy’s California installations are at wastewater and food/beverage facilities These facilities are a growing source of renewable biogas Fuel cells produce electricity using this biogas more efficiently than competing distributed generation Byproduct heat is used in treatment process increasing efficiency up to 80 percent 1 MW DFC1500 at a wastewater treatment facility in southern CA

2009 Focus: DFC-ERG DFC-ERG power plant reduces energy costs and emissions for gas utility companies Provides new revenue stream from electricity sold to the grid Worldwide market potential with estimated MW in Toronto, Northeastern U.S. and Canada 1 st unit installed in Toronto Four projects selected under Connecticut Project 150 DFC-ERG before deployment to Toronto, Canada

2009 Focus: DFC/Turbine DFC/Turbine developed under Department of Energy’s Vision 21 program Targeted for large-scale grid deployment –Electrical utilities worldwide require maximum electricity output –These customers have no use for the heat –High electrical efficiency is key DFC/T delivers 58 percent electrical efficiency DFC power plant produces electricity & heat Fuel cell heat turns the turbine to produce more electricity 3.2 MW DFC/T pending approval in Conn. Round 3 DFC/T at Billings Medical Clinic

2009 Focus: Market Opportunities California market estimate 5-10 MW for fiscal 2009 Finalize orders pending from Round 2 of Connecticut RPS program Conn. Round 3 regulator approval due for 27.3 MW of projects included in draft decision –Estimated value $84 million –Includes nine DFC3000 power plants POSCO Power 2010 order 2.4 MW in Pohang, Korea

2009 Focus: Contract R&D Awarded $30.2 million Phase II contract to further develop coal-based power plant in January $21 million funded by Department of Energy Phase II goal is to build a minimum 25 kW solid oxide stack for future integration into larger power plants Continuing to build DFC-H2 demonstration unit that produces electricity, heat hydrogen gas for transportation Solid Oxide Fuel Cell Stack

2009 Focus: U.S. Recovery Bill American Recovery & Reinvestment Act (ARRA) passed in February $30 billion in energy initiatives and $20 billion in tax incentives Provisions expected to stimulate demand for fuel cell power: –Investment Tax Credit becomes a grant –ITC can now be calculated on a larger cost basis in some cases –Faster depreciation schedule significantly shortens payback periods –~$10 billion in new funds being for clean energy projects, research and demonstration programs Two DFC300 power plants being installed at Gills Onions in California

Production Capabilities Production and delivery capabilities meet current demand State-of-the-art manufacturing in Torrington, Conn. 50 MW capacity Production rate of 30 MW/year Strong supply chain in place Expansion plan to achieve 150 MW capacity –Add production capacity to furnace and other operations –Build conditioning facilities local to customer base Torrington, CT Danbury, CT

Summary Product performance expanding markets Customers/applications providing repeatable order flow – Asia, California, Connecticut RPS and South Korean markets creating multi-MW volume Established manufacturing capability to meet current and future demand Cost reduction and volume on path to profitability –New MW-class design in production 4FQ2009 will be first gross margin profitable products Pohang, Korea

NASDAQ: FCEL Thank you Any questions?