Exhibit 99

Environmental Power Corporation to Conduct Private Placement of Securities


    PORTSMOUTH, N.H.--(BUSINESS WIRE)--March 17, 2004--Environmental
Power Corporation (OTCBB: POWR) today announced that it intends to
conduct a private placement of its securities.
    Environmental Power will offer units (the "Units") consisting of
(i) 30,000 shares of Environmental Power's Common Stock, $0.01 par
value per share ("Common Stock"), and (ii) warrants to purchase 15,000
shares of Common Stock at a purchase price of $1.10 per share,
exercisable for three years from the date of purchase. Environmental
Power will offer a minimum of 40 Units and a maximum of 210 Units, at
a purchase price of $24,000 per Unit. The private placement is
expected to commence on or about the date of this press release and to
terminate no later than May 21, 2004. The Units will be offered
through a placement agent. The purpose of the private placement is to
raise funds for working capital and general corporate purposes.
    Neither the Units, nor the shares of Common Stock underlying the
Units or the warrants included in the Units, will be registered under
the Securities Act of 1933, as amended, and may not be offered or sold
in the United States absent registration or an applicable exemption
from registration requirements.

    This press release shall not constitute an offer to sell or the
solicitation of an offer to buy in any jurisdiction.

    CONTACT: Environmental Power Corporation
             Investors:
             Kam Tejwani, 603-431-1780
             ktejwani@environmentalpower.com
             or
             Media:
             Kate Dolan, 603-431-1780
             kdolan@environmentalpower.com
             www.environmentalpower.com