Bloom Energy has launched a new energy server with patented solid-oxide fuel-cell technology that can generate 100 kW, enough to power one small office building or 100 average U.S. homes. Rather than purchasing it from a utility company, the Bloom Energy Server makes it possible to generate electricity locally.

The company says a server costs from $700,000 to $800,000, not including fuel, and that it will generate electricity for eight to nine cents per kilowatt hour. Proponents hope that the servers will someday provide clean, reliable, and affordable energy around the world. To date, A-list customers include Google, eBay, Wal-Mart, FedEx, Coca-Cola, Cox Enterprises and Wal-Mart.

It is not for everyone . . . yet

In a NewsFactor.com article, Bloom Energy CEO Dr KR Sridhar said the company is “dedicated to making clean, reliable energy affordable for everyone in the world.” At this time, however, it would take a lot more than a payday loan, even multiple numbers of payday loans, to get a Bloom Energy Server. The much-hyped launch of the energy server probably was not attended by many everyday people in need of a cash advance, but high-profile types like California Governor Arnold Schwarzenegger, former Secretary of State Colin Powell, and venture capitalist John Doerr were there.

100 percent cleaner than traditional methods

According to the NewsFactor.com article, rather than the traditional combustion method, the Bloom Energy Server contains thousands of ceramic fuel cells that generate electricity using an electrochemical process. The electrical generation process is 100 percent cleaner than traditional coal-fired electrical generation when the Bloom Energy Server cells are powered by biogas or some other renewable fuel source. The Bloom Energy Server is about 67 percent cleaner than traditional methods when powered with fossil fuels.

“It is real. It works,” said K.R. Sridhar on “60 Minutes.”

He is talking about Bloom Energy’s invention, the Bloom Box, which creates power using fuel cells. Sridhar hopes that one day every home in the U.S. has a Bloom Box. The invention can provide electricity at a lower cost than a regular utility bill, and it’s better for the environment.

How does Bloom Energy work?

Sridhar, co-founder of Bloom Energy and the scientist responsible for the making of the fuel-cell-powered Bloom Box, recently appeared on “60 Minutes” to talk about Bloom Energy. Fortunately, he did not have to rely on personal loans to start his company. He got several hundred million dollars in capital investments from capital firm Kleiner Perkins, which also helped fund Google, Amazon and Netscape.

The Boom Box, according to the New York Times, “generates its power wirelessly through a combination of oxygen and a fossil fuel – natural gas, bio-gas, etc.” The fuel cells in the Bloom Box use sand baked into a ceramic and coated with proprietary inks, said Sridhar on “60 Minutes”. Bloom Energy’s Bloom Box will officially be unveiled Wednesday in San Jose.

Product testing and commentary

Kleiner Perkins reports that if a home uses Bloom Energy instead of going through a utility company, its carbon emissions will be reduced by about half, and it costs less. Michael Kanellos, editor-in-chief of GreenTech Media, is one of the many that won’t believe it until they see it.

“I’m hopeful, but I’m skeptical,” Kanellos said. “People have tried fuel cells since the 1830s.”

However, Bloom Energy fuel cell technology is good enough for Google. The company’s headquarters in California has gotten its power from a Bloom Box for the past 18 months. “We have a 400-kilowatt installation on Google’s main campus that delivers clean and affordable power,” said Google spokesman Jamie Yood. Wal-Mart, FedEx and eBay have also used the Bloom Box. Keep your eye on bloomenergy.com for the official public unveiling.