Air Compression Energy finds new financial backing

Air Compression Energy is a unique form of energy generation which so far has found little takers, but the recent inflation in fuel rates has made even this as a better alternative. Air Compression Energy is produced by first compressing air inside underground caves with the help of electricity (not produced by the caves but from an outside source) then when the cave is pressurized the air is released then spinning turbines to generate electricity. Although this technology has been around for some time, it hasn’t found many investors until now. PSEG Energy Holdings have announced to invest $20 million in the development of this power generation system along with storage expert Michael Nakhamkin. They will jointly lead the way to promoting this wind generation technology by using the caves once occupied by vast reserves of oil and gas. They hope to make ACE as popular as conventional wind turbine energy. BCC Research says that the US market for wind systems will be worth $60.9 billion in 2013, up from $11.2 billion this year.

So far Air Compression Energy doesn’t have such a good image since the caves that store fossil fuels for millions of years can still spring leaks are of unreliable sizes and the biggest disadvantage being that caves can’t provide an immediate substitute source of power if the wind dies down, mainly during longer windless periods.
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