Direct methanol fuel cell products have been commercially available in specialty
                    power equipment since 2003. Leading manufacturers around the world are
                    developing micro fuel cell technologies powered by methanol for the next
                    generation of laptop computers, cellular phones and other important consumer
                    electronic products. Using methanol as a hydrogen carrier fuel, micro fuel cells
                    are a completely new technology that provides continuous power without the
                    need for recharge by electric outlets, allowing users to “cut the A/C cord”. The
                    standards, regulations and usage allowances for battery powered consumer
                    electronics have been in place for many years. Fuel cell products will need to
                    meet the existing standards for electronics devices plus new requirements
                    specific to fuel cell equipment. The methanol fuel cell industry has worked for
                    four years with national and international agencies and standards authorities to
understand transportation and consumer safety needs and incorporate them into regulatory and
standards requirements.

International regulatory authorities at the United Nations, working with the U.S., Japan and other
delegations, have established the basic requirements for cargo shipping of methanol fuel cell
cartridges and fuel cell electronic equipment.
Authorities for shipments by aircraft, road, rail “There is considerable speculation that lack of suitable
and vessel are making enactments for              regulations for fuel cells will be one delaying factor in their
methanol cartridges in all modes of cargo         implementation in many markets, not least in the portable
transport.      As the safety codes and           sector. However, over the last year in particular, the situation
requirements evolve, regulatory provisions        has begun to change with considerable effort expended on
are being sought from authorities to allow        creating and standardizing rules and regulations (as well as
passengers to carry and use these products        fueling issues).”
in the same manner as battery powered             Fuel Cell Today, September 1, 2004
electronics are allowed today.

Safety Codes & Standards
International Electrotechnical Commission (IEC): The fuel cell industry and UL are working with the
IEC to develop international standards (IEC TC 105) for the performance, safety and
interchangeability of methanol fuel cell devices and fuel cartridges. Initiated in 2002, the safety
standard IEC 62282-6-1 was issued as Committee Draft for Comment in August 2005. Comments will
close in early November, a Committee Draft for Vote will issue after the final December 2005 meeting
and the international standard is to be published during 2006. During the interim period a Publicly
Available Specification, identical to the Committee Draft for Comment, has been approved by vote
and will be published as IEC/PAS 62282-6-1 until the international standard is issued.

     MF: 4100 N. Fairfax Drive, Suite 740, Arlington, VA 22203 – (703) 248-3636 –
    MTI: 431 New Karner Road, Albany, New York 12205 – (518) 533-2222 –
CSA America and Underwriters Laboratories Inc. (UL): The fuel cell industry is working with CSA
America and UL to develop a safety standard for the design and manufacture of micro fuel cell power
systems (ANSI/UL 2265/CSA America FC11). UL has also published an Outline of Investigation,
Subject 2265A, covering the safety certification of methanol-fueled micro fuel cells for use in
information technology equipment. MTI manufactured its first commercially available fuel cell
cartridges to this standard.

International Transportation Requirements
UN Committee of Experts on the Transport of Dangerous Goods (UN CETDG): The UN CETDG
reviewed proposals for methanol fuel cell products submitted by Japan and the US in 2003 and 2004.
With their guidance, appropriate safety requirements were set and transportation tests were identified
for the IEC standard. In December 2004 the UN CETDG approved a new UN shipping entry and
packing instruction for methanol fuel cell cartridges (UN 3473, Fuel Cell Cartridges, containing
flammable liquids). The model regulation is now being adopted by international transportation modal

International Civil Aviation Organization (ICAO): ICAO is reviewing and enacting the UN model
regulation for shipment of methanol fuel cell cartridges into their Technical Instructions. The U.S.
DOT and a number of industry representatives presented briefing papers on methanol fuel cells and
cartridges to the ICAO Dangerous Goods Panel (DGP) at a number of meetings over this past year.
Comments by ICAO DGP members were incorporated into the IEC 62282-6-1 draft standard. The
ICAO DGP adopted a passenger exclusion in November 2005, setting the stage for the international
framework of regulations and standards for methanol fuel cells to be largely complete by the end of

International Maritime and Cargo Transport: International transportation authorities for maritime
shipping (IMO) and European rail, road and inland waterways (RID/ADR/ADN) are reviewing the UN
model regulation for methanol fuel cell cartridges and enacting it into their instructions. This process
should be completed by 2007 and the US DOT should adopt similar instructions for US rail, road and
waterway shipments. It is intended that these instructions will provide safe and convenient cargo and
parcel shipments of methanol fuel cell products and cartridges to retailers and consumers.

Consumer Protection Initiatives
Consumer Product Safety Commission (CPSC): Federal consumer protection laws and the CPSC
regulate many aspects of safety for personal consumer electronics using fuel cells. Safety standards
already in existence and those being developed by UL and IEC will be important in providing proper
protection to consumers. The CPSC has been directly involved in the UL and IEC codes and
standards development activities, and have assisted the methanol fuel cell industry in understanding
the federal requirements for consumer product safety and compliance.

                  2001        2002        2003        2004        2005        2006        2007
   UL 2265
   IEC TC 105
   UN Experts
   Modal Auth.

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