USF and Progress Energy Florida purchase two 5kW x 4hr VRB Energy Storage Systems

    VANCOUVER, July 25 /PRNewswire-FirstCall/ - VRB Power Systems Inc.
 (TSX-V: VRB) announces that the University of South Florida, in partnership
 with Progress Energy Florida, has purchased two 5kW x 4hr VRB Energy
 Storage Systems(TM), which it will integrate with a solar project on the
 St. Petersburg campus of the University of South Florida. This project is
 aimed at evaluating the storage of intermittent solar photovoltaic energy
 and utilizing that energy at a time of maximum benefit to the customer and
 utility power systems. The two sites will enable the evaluation of the
 potential of these advanced energy storage systems for a number of power
 system applications.
     John Davis, director of VRB, says, "VRB Power has developed as its
 standard small system offering, a 5kW 4 hour unit focused on the
 telecommunications sector. It is very exciting to see that this same
 platform can also form the basis for PV market applications, such as with
 Progress Energy. This demonstrates the flexibility and potential of the VRB
 flow battery and dramatically increases our market potential."
     "The continued development of renewable energy is part of our balanced
 approach to meeting growing customer demand, and it will play a vital role
 in our energy future," said Jeff Corbett, Progress Energy Florida's senior
 vice president of Energy Delivery. "This system will allow storage of
 renewable energy for later use, when it is needed the most, such as very
 hot or very cold days. This partnership with USF will help enhance
 utilities' use of renewable energy, and it will also serve as an
 educational platform for USF students."
     The Power Center for Utility Explorations (PCUE) at the University of
 South Florida is the group performing the design, installation, modeling
 and simulation. PCUE Director Alex Domijan and Assistant Director Arif
 Islam will seek to transform this pilot effort into a practical application
 for other utilities to emulate for the benefit of their customers. The use
 of renewable energy sources will advance the state-of-art reduction of the
 carbon footprint and mitigate climate change with widespread use of an
 installed system.
     About Progress Energy
     Progress Energy, headquartered in Raleigh, N.C., is a Fortune 250
 diversified energy company with more than 23,000 megawatts of generation
 capacity and $10 billion in annual revenues. The company's holdings include
 two electric utilities serving approximately 3 million customers in North
 Carolina, South Carolina and Florida. Progress Energy's non-regulated
 operations include energy marketing. Progress Energy is the 2006 recipient
 of the Edison Electric Institute's Edison Award, the industry's highest
 honor, in recognition of its operational excellence. In 2005, the company
 also received the prestigious J.D. Power and Associates Founder's Award for
 dedication, commitment and sustained improvement in customer service. For
 more information about Progress Energy, visit the company's Web site at
 progress-energy.com.
     About University of South Florida
     The University of South Florida (USF) is a major Research 1 university
 located in the Tampa Bay area of Florida. USF has about 45,000 students,
 several regional campuses and an annual operating budget of over $1
 billion. Last year, USF was tied for the highest research growth rate in
 the USA. USF has 11 colleges and offers more than 7000 courses. For more
 information about Power Center for Utility Explorations (PCUE) & University
 of South Florida (USF), visit the web site at
 http://pcue.eng.usf.edu/Webpages/index.htm and http://www.usf.edu/
 respectively.
     About VRB Power
     Headquartered in Vancouver, Canada, VRB Power Systems Inc. is an energy
 storage technology developer which is marketing, selling and manufacturing
 products utilizing the patented VRB Energy Storage System ("VRB-ESS(TM)").
 The VRB-ESS can economically store and supply large amounts of electricity
 on demand and is focused on stationary applications. It is a long life,
 cost effective, low maintenance, efficient technology that allows for the
 scalability of power and storage capacity independently. The VRB-ESS is
 particularly beneficial to renewable energy providers, utilities and end
 users through its ability to "inventory" electricity, allowing for the
 optimal match of supply and demand.
     The VRB-ESS is well suited for a variety of applications. Enabling the
 provision of "firm" capacity from intermittent renewable generation such as
 wind and solar; more cost effective and efficient generation of electricity
 in remote areas; capital deferral for utilities; and load levelling (peak
 shaving) applications. The VRB-ESS is also capable of providing backup
 power solutions including applications for utility sub-stations and
 telecommunication sites. The VRB-ESS is characterized by having the lowest
 ecological impact of all energy storage technologies and is unlike most
 other conventional energy storage systems that rely on substances such as
 lead or cadmium.
     Caution regarding forward-looking statements: VRB Power's press
 releases may contain forward-looking statements. These statements are based
 on management's current expectations and beliefs which are subject to a
 number of known and unknown risks and uncertainties (including, but not
 limited to, the risk factors described in VRB Power's Annual Information
 Form filed with the British Columbia Securities Commission and available at
 www.sedar.com) that could cause actual results to differ materially from
 those expressed or implied in our forward-looking statements. The Company
 does not assume any obligation to update any forward-looking statements
 contained in this press release.
     The TSX Venture Exchange does not accept responsibility for the adequacy
     or accuracy of this release.
 
     Simon Clarke
     Executive Vice President, Corporate Development
 
 

SOURCE VRB Power Systems Inc.