The Ecogen unit will generate 1kW of electricity for use in the home while also providing heating and hot water.
Baxi Group CEO Martyn Coffey (pictured left) said the company will have 150 units ready for November this year, and will launch the product for the mass market in 2009.
The company expects the micro-CHP sector to represent some 6 million installations, since the product can be installed by domestic heating installers using their existing skills.
Mr Coffey also said that while the unit will be more expensive than a high efficiency boiler, production of electricity would offer substantial savings to the user so offering a payback of between two to five years.
The launch is considered highly significant since micro-CHP technology has been in development for many years and the Baxi product is at last delivering on the sector’s investment.
The product is based on Stirling engine technology and its launch was attended by Energy Minister Malcolm Wicks (pictured right).