Active Power Selected by Nestlé Waters Algeria

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Green UPS system to provide critical backup power to mineral water production facility.

The fact a Texas-based UPS manufacturer competed against two leading European based UPS providers for the Nestlé Waters Algeria contract and won speaks volumes about Active Power's flywheel-based technology

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Active Power, Inc. (NASDAQ: ACPW), inventor and manufacturer of the most energy-efficient critical power systems in the world, recently shipped one of its integrated flywheel-based uninterruptible power supply (UPS) systems against an order received from Nestle Waters Algeria. Located in the city of Blida, Algeria, Nestlé Waters Algeria is one of the main producers of mineral water in the region. The facility ordered Active Power's CleanSource® UPS 250 kVA, two 1,000 kVA transformers, switchgear and GenStart™, which delivers redundant starting power for generators, significantly increasing system availability.

"Reliability coupled with new technologies played a crucial role in our selection of a UPS system," said the project manager of Nestlé Waters Algeria. "We were in search of a field proven backup power system that can operate seamlessly in environments with challenges presented by power grid fluctuations. The energy efficiency and reliability of Active Power's flywheel-based UPS system impressed us the most."

Active Power engineers will assist Nestlé Waters Algeria in designing the layout for proper placement of the CleanSource UPS and transformers. Installation of the entire system is scheduled to begin at the end of July.

"The fact a Texas-based UPS manufacturer competed against two leading European based UPS providers for the Nestlé Waters Algeria contract and won speaks volumes about Active Power's flywheel-based technology," said Jim Murphy, vice president of Sales, EMEA and APAC for Active Power. "Our field proven UPS systems provide inherent reliability to customers working in challenging physical environments. Active Power has deployed more than 1,600 flywheels in UPS system installations in more than 40 countries around the world."

Nestlé Waters is the world leader in bottled water with a presence in 130 countries. Nestlé Waters Algeria plays a significant role in Nestlé Water's development strategy for Africa and the Middle East. Bottled water consumption is particularly high in Algeria and North Africa with an annual consumption of more than 16 litres of bottled water per person at the end of 2004. There are approximately 32 million people in Algeria.

About Active Power
Active Power (NASDAQ: ACPW) provides efficient, reliable and green critical power solutions and uninterruptible power supply (UPS) systems to enable business continuity in the event of power disturbances. Founded in 1992, Active Power's flywheel-based UPS systems protect critical operations in data centers, healthcare facilities, manufacturing plants, broadcast stations and governmental agencies in more than 40 countries. Active Power also offers CoolAir, the only solution that provides both backup power and backup cooling. With expert power system engineers and worldwide services and support, Active Power ensures organizations have the power to perform. For more information, please visit http://www.activepower.com.

Cautionary Note Regarding Forward-Looking Statements
This release may contain forward-looking statements that involve risks and uncertainties. Any forward-looking statements and all other statements that may be made in this news release that are not historical facts are subject to a number of risks and uncertainties, and actual results may differ materially. Specific risks include delays in new product development, product performance and quality issues and the acceptance of our current and new products by the power quality market. Please refer to Active Power filings with the Securities and Exchange Commission for more information on the risk factors that could cause actual results to differ.

Active Power, the Active Power logo, and CleanSource are registered trademarks of, and CoolAir is a trademark of Active Power, Inc. All other trademarks are the properties of their respective companies.

Active Power Investor Contact:
John Penver
Chief Financial Officer
512-744-9243
jpenver @ activepower.com

Active Power Media Contact:
Lee Higgins
Public Relations Manager
512-744-9488        
lhiggins @ activepower.com

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