10 kW SOFC POWER SYSTEM COMMERCIALIZATION

The program is organized into three developmental periods. In Phase 1 the team will develop and demonstrate a proof-of-concept prototype design and develop a manufacturing plan to substantiate potential producibility at a target cost level of $800/kW factory manufacturing cost. Phase 2 will further develop the design and reduce the manufacturing cost to a level of $600 kW. Depending on an assessment of the maturity of the technology at the end of Phase 1, Phase 2 may be structured and supplemented to provide a limited production capability. Finally, in Phase 3, a full Value Package Introduction (VPI) Program will be integrated into the SECA program to develop a mass-producible design at a factory cost of $400/kW with full cross-functional support for unrestricted commercial sales. The path to market for new technology products in the Cummins system involves two processes. The first is called Product Preceding Technology, or PPT. The PPT process provides a methodology for exploring potentially attractive technologies and developing them to the point that they can be reliably scheduled into a new product development program with a manageable risk to the product introduction schedule or product quality. Once a technology has passed the PPT gate, it is available to be incorporated into a Value Package Introduction (VPI) Program. VPI is the process that coordinates the cross-functional development of a fully supported product. The VPI Program is designed to synchronize efforts in engineering, supply, manufacturing, marketing, finance, and product support areas in such a way that the product, when introduced to the market, represents the maximum value to the customer