NYSERDA, Northern Power and Equity Office Announce Completion of Combined Heat and Power (CHP) System at 717 Fifth Avenue, New York City

NYSERDA, Northern Power and Equity Office Announce Completion of
Combined Heat and Power (CHP) System at 717 Fifth Avenue, New York City
Tuesday October 10, 9:45 am ET
Ceremony Being Held October 12, 2006 from 11 a.m.-12:30 p.m. Eastern


NEW YORK, Oct. 10 /PRNewswire-FirstCall/ -- Northern Power, a
subsidiary of Distributed Energy Systems Corp. (Nasdaq: DESC - News),
the New York State Energy Research and Development Authority (NYSERDA),
and Equity Office, the nation's largest publicly held owner of office
buildings, announce the completion of a new $4.1 million, 1.6-megawatt
combined heat and power (CHP) system at 717 Fifth Avenue in Midtown
Manhattan. The system, which is the first of its kind to be
synchronously interconnected to the critical Midtown network grid of
Consolidated Edison Company of New York (Con Edison) handles 60% of the
450,000-square-foot building's electric usage, and 65% of its cooling
and heating needs. A recognition event is being held in the lobby of
717 Fifth Avenue on October 12, 2006 from 11:00 a.m. to 12:30 p.m.
Eastern, and will feature a tour of the system.
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The system, which was designed and built by Northern Power on a turnkey
basis, operates in parallel with the utility's grid during peak and
mid-peak hours, and provides nearly two-thirds of the building's peak
summer demand. The project was supported by a $745,000 grant from
NYSERDA.

Although its primary function is to increase the building's energy
efficiency, the system can also be configured to provide backup power
to keep the building operational during an extended power outage, such
as the one experienced by office workers during the August 2003
blackout.

"We believe that the 717 Fifth Avenue project will serve as an
outstanding example to similar facilities that a successful
interconnection of on-site generating assets with the local network
grid is possible and that such projects will have a positive impact on
relieving some of the load currently straining the grid," said Peter R.
Smith, President of NYSERDA. "In addition, such projects hold the
promise of benefiting the environment through dramatically improved
energy efficiency."

Equity Office, Northern Power, and NYSERDA consider this to be a
flagship project demonstrating the ability of large office buildings to
attain both interdependence with and independence from utility grids,
even in the heart of major metropolitan areas like New York City.

"Several years ago Equity Office launched a dedicated, comprehensive,
and aggressive energy program to reduce overall energy consumption and
to increase energy efficiency at buildings throughout our portfolio,"
said Paul Saccone, vice president of Equity Office's corporate
engineering and energy investment group. "EOP's Total Energy Initiative
focuses on energy monitoring, energy investment, procurement,
conservation, and education and training.

About NYSERDA

The New York State Energy Research and Development Authority (NYSERDA)
is a public benefit corporation created in 1975 by the New York State
Legislature. NYSERDA administers the New York Energy $mart(SM) program,
which is designed to support certain public benefit programs during the
transition to a more competitive electricity market. Some 2,700
projects in 40 programs are funded by a charge on the electricity
transmitted and distributed by the State's investor-owned utilities.
The New York Energy $mart(SM) program provides energy efficiency
services, including those directed at the low- income sector, research
and development, and environmental protection activities.

About Northern Power

Northern Power designs, builds and installs reliable power solutions
for commercial, industrial, government, and military customers. The
company also conducts research and development in the areas of
renewable energy, distributed generation and hydrogen technology. Since
its founding in 1974, Northern has installed over 800 systems in 45
countries on all seven continents. Northern Power Systems, Inc. is
headquartered in Waitsfield, Vermont and employs 100 people with
engineering, fulfillment, and customer- support capabilities. The
company is a wholly owned operating subsidiary of Distributed Energy
Systems Corp. For more information, visit www.northernpower.com.

About Equity Office

Equity Office Properties Trust (NYSE: EOP - News), operating through
its various subsidiaries and affiliates, is the nation's largest
publicly held office building owner and manager with a total office
portfolio consisting of whole or partial interests in 586 buildings
comprising 109.6 million square feet in 16 states and the District of
Columbia. Equity Office has an ownership presence in 24 Metropolitan
Statistical Areas (MSAs) and in 101 submarkets, enabling it to provide
a wide range of office solutions for local, regional and national
customers. For more company information, visit the Equity Office
website at http://www.equityoffice.com.

About Distributed Energy Systems Corp.

Distributed Energy Systems Corp. (Nasdaq: DESC - News) creates and
delivers products and solutions to the emerging decentralized energy
marketplace, giving users greater control over their energy cost,
quality, and reliability. As the parent company of Proton Energy
Systems, Inc. (www.protonenergy.com) and Northern Power Systems, Inc.,
Distributed Energy Systems delivers a combination of practical,
ready-today energy solutions and the solid business platforms for
capitalizing on the changing energy landscape. For more information,
visit www.distributed-energy.com.




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Source: Distributed Energy Systems Corp.

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