December 19, 2008

Berry Plastics Corporation and Power Efficiency Corporation Implement Energy Efficiency Program Using E-Save Technology™ on Granulators

December 19, 2008 – Las Vegas, NV – Power Efficiency Corporation (OTCBB: PEFF.OB), a clean tech company focused on efficiency technologies for electric motors, announced today that 28 motor efficiency controllers were installed on 24 granulators at Berry Plastics in Anaheim, California. Berry Plastics is a global plastics manufacturer that has set a goal to reduce energy consumption and pick up secondary benefits of the company’s environmental footprint through reduction of Volatile Organic Compound (VOC) emissions, raw materials consumption and waste creation.

Power Efficiency’s patented E-Save Technology improves the efficiency of electric motors in granulators and other variable load, constant speed applications.  E-Save Technology monitors the load on an electric motor and reduces the amount of power consumed by the motor when it is lightly loaded. By conserving energy, E-Save Technology saves money by reducing energy bills and supports sustainability programs to reduce CO2 emissions.

The Berry Plastics facility in Anaheim, California utilizes granulators that run continuously in their plastic product manufacturing process and in their grinding department. In an analysis based on successful tests by the local electric utility, the annual energy consumption will be reduced by over 195,000 kWh, resulting in an annual cost decrease of $17,600. This represents an energy savings exceeding 40%, payback in less than two years, and a 74% internal rate of return.
A CO2 reduction over 300,000 lbs is projected, equivalent to 26 cars off the road. In addition, the utility company approved an incentive for installing the motor efficiency controllers.

“The Motor Efficiency Controller solution fits right into our energy and cost savings goals. Granulators without E-Save Technology use more energy and have high electricity costs. Berry is making efforts to increase energy efficiency and we feel it’s an important step in helping our business prosper”, said Ken Fritts, Berry Plastics Maintenance Manager.

Steven Strasser, Chairman and CEO of Power Efficiency Corporation, commented, “We are very pleased to work with Berry Plastics on this project and we are glad that E-Save Technology should result in excellent energy savings to Berry Plastics for years to come. Additionally, the payback and internal rate of return on this project is outstanding.”

“We are continuing to execute on our strategy to offer our products to different segments of the industrial market. We believe that in this challenging economy, more and more industries will be motivated to adopt energy saving technologies to reduce costs of operations. According to the U.S. Department of Energy, U.S. industrial customers spend more than $60 billion on electricity each year and motors consume more than 60% of that total. Many motors are operating at light or variable loads, meaning they are wasting energy and are potential candidates for savings with E-Save Technology”, added Steven Strasser.

About Berry Plastics Corporation
Berry Plastics is a leading manufacturer and marketer of plastic packaging products.  Berry Plastics is a major producer of a wide range of products, including open top and closed top packaging, polyethylene-based plastic films, industrial tapes, medical specialties, heat-shrinkable coatings and specialty laminates. The company’s 17,000 plus customers range from large multinational corporations to small local business.  Based in Evansville, Indiana, the company has 68 manufacturing facilities worldwide and nearly 14,000 employees.  For more information, please visit http://www.berryplastics.com.

About Power Efficiency Corporation
Power Efficiency Corporation is a clean tech company focused on efficiency technologies for electric motors. Power Efficiency is incorporated in Delaware and is headquartered in Las Vegas, Nevada. The company has developed a patented and patent-pending technology platform, called E-Save Technology™, which has been demonstrated in independent testing to improve the efficiency of electric motors by up to 35% in appropriate applications. Electric motors consume over 25% of the electricity in the U.S. and many operate inefficiently. E-Save Technology™ can be licensed to motor, controls and equipment manufacturers. Power Efficiency’s first product based on E-Save Technology™ is the Motor Efficiency Controller, for applications such as escalators, crushers, granulators, mixers, saws and MG elevators. Power Efficiency is also developing a new product based on E-Save Technology™ for the tens of millions of small motors found in applications such as residential air conditioning, pool pumps, and clothes dryers. The company is working with manufacturers to incorporate this technology directly into new motors and appliances. For more information, go to www.powerefficiency.com.

As a cautionary note to investors, certain matters discussed in this press release may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such matters involve risks and uncertainties that may cause actual results to differ materially, including the following: changes in economic conditions; general competitive factors; acceptance of the Company’s products in the market; the Company’s success in technology and product development; the Company’s ability to execute its business model and strategic plans; and all the risks and related information described from time to time in the Company’s SEC filings, including the financial statements and related information contained in the Company’s SEC filing. Power Efficiency assumes no obligation to update the information in this release.