One aspect of alternative energy that is rarely discussed in the press is cogeneration. Cogeneration is the generation of two or more sources of power, such as electricity, heat and steam, from one source of fuel. Even cooling can be a byproduct of cogeneration plants through the use of absorption chillers with moderate heat.

Cogeneration plants come in all sizes, from those for individual homes to those for large utilities. Consolidated Edison (ED) is the largest cogenerator in the world, with seven cogeneration plants that produce 30 billion pounds of steam for Manhattan every year. All of the following stocks have market caps over $230 million, and most trade on either the New York Stock Exchange or the Nasdaq.

Ballard Power Systems (BLDP) is a British Columbia-based manufacturer of hydrogen fuel cells for materials handling, residential cogeneration systems and backup power. The stock has a P/E of 12.

Constellation Energy Group (CEG) designs, constructs and operates renewable energy and cogeneration facilities for commercial, industrial and governmental customers. This electrical-generating company, founded in 1906, owns and operates generating plants and fuel-processing facilities utilizing various types of fuel, including nuclear, coal, natural gas, oil, solar, geothermal, hydro and biomass. The P/E is 20 and the PEG is 1.03. The yield is 2.2%.

Capstone Turbine (CPST) is involved in the development, manufacture, marketing and servicing of microturbine technology solutions used in stationary distributed power generation applications for cogeneration power. The company recently generated negative earnings of 24 cents per share for the recent quarter.

Husky Energy (HUSKF.PK) is a Canadian integrated energy company that maintains interests in two cogeneration plants, a 215-megawatt natural-gas-fired electricity Meridian cogeneration facility and a 90-megawatt natural-gas-fired cogeneration facility adjacent to its Rainbow Lake Gas Processing Plant. The stock has a P/E of 12.

Veolia Environnement (VE) is a Paris-based company that trades on the New York Stock Exchange. It provides environmental management services, such as cogeneration services, to governmental agencies, individuals and industrial and commercial customers. The stock has a P/E of 18, a PEG of 1.42 and a yield of 4.7%.

Plug Power (PLUG) designs and makes fuel cell systems. The company is in partnership with Honda (HMC) to develop home cogeneration of heating, power and hydrogen. The stock generated negative earnings of 80 cents per share for the quarter.
If you like green stocks check out the following:

Solar energy
Fuel cells
Wind power
Ethanol
Geothermal
Flywheels
Wave power

Author does not own any of the above.

By Stockerblog.com.