KONE Inc. and Power Efficiency Corporation to Implement Innovative Energy Efficiency Program for Escalators using EcoStart™ at Denver International Airport
                           
Power Efficiency Corporation’s Motor Efficiency Controller Using E-Save Technology™ Made Exclusively for KONE is Being Installed on 160 Escalators and Moving Walkways at the Nation’s Fifth Busiest Airport

December 11, 2007 – Las Vegas, NV – Power Efficiency Corporation (OTCBB: PEFF.OB), a developer of technologies for electric motors focused on energy efficiency, announced today that KONE Inc. (OMX: KNEBV) will implement an innovative program using KONE’s EcoStart™, designed for escalators and moving walkways at Denver International Airport (DIA).

KONE’s EcoStart™ is a unique motor efficiency controller that soft starts an electric motor, bringing it from rest to full speed. Once it is at full speed, the EcoStart™ monitors the motor and improves its efficiency when operating. By conserving energy, the EcoStart™ supports the building’s sustainability programs and contributes to environmental protection efforts. EcoStart™ is manufactured by Power Efficiency Corporation exclusively for KONE under private label. KONE will begin the DIA modernization project immediately.

Operated by the City and County of Denver, DIA is the fifth-busiest airport in the U.S. and served 47.3 million passengers in 2006. The EcoStart™ motor efficiency controller for escalators will be installed in 160 escalators and moving walkways throughout the airport. Xcel Energy, the electric utility for DIA, tested the EcoStart™ at the airport and estimates DIA will save 30-40% electrical use on its escalators and moving walkways, representing a reduction of over 2.0 million kilowatt-hours (kWh) per year.

Denver Manager of Aviation, Turner West said, “DIA has a long standing commitment to sustainable operations and environmental protection.  DIA is equally committed to reducing operating costs where consistent with safe operations.  This project promotes all of these goals.  The electrical savings of 2 million KWH per year will reduce carbon dioxide emissions by four million pounds per year.   It will reduce DIA operating costs by more than $100,000 per year, and will recover investment cost in 3 years.”  

“The increased electrical efficiency gained by using this product will immediately benefit DIA,” said Vance Tang, President of KONE Inc. “The EcoStart platform makes good business sense for DIA and the entire Denver community.”

“Our focus at KONE is to develop product and service offerings that consider the environmental impact throughout their entire life cycle. This commitment leads to benefits such as increasing energy and material efficiency while reducing emissions and wastes for customers like DIA,” added Tang.

Doug Ryan, Key Account Manager for Xcel Energy, said, "Through 'ConservationWise from Xcel Energy' we offer cash rebates for purchasing and installing eligible energy-efficient equipment and mechanical system components. Our customers not only benefit from reduced energy costs, but the rebates shorten payback periods. We are pleased to support Denver International Airport in its efforts to reduce energy use. Based on our initial evaluation, this project could have a substantial impact on the airport's annual electricity consumption.”

Steve Strasser, Chairman and CEO of Power Efficiency Corporation, commented, “As the manufacturer of EcoStart™, we are pleased that DIA and KONE have the confidence in our patented E-Save Technology™ to implement such an important energy saving program. The DIA project is an excellent example of how public and private industry can work together to implement proven, cost effective energy saving technologies that positively impact their customers and the communities they serve.”

“Working with KONE, our highly integrated and easily installed products make the EcoStart well suited to address the complex energy savings requirements of a major transportation hub like Denver International Airport,” added Strasser.

About Denver International Airport:

Denver International Airport opened in 1995 and was the nation's first all-new airport in more than 20 years. DIA is the fifth-busiest airport in the United States and 10th-busiest in the world. The 22 airlines serving DIA provide nonstop service to nearly 150 destinations in the United States, Mexico, Canada, and Europe. DIA is renowned for its commitment to efficiency, safety and environmental protection.

About KONE:

KONE is one of the world’s leading elevator and escalator companies. It provides its customers with industry-leading elevators and escalators, with innovative solutions for their maintenance and modernization. KONE also provides maintenance of automatic building doors. In 2006, KONE had annual net sales of EUR 3.6 billion and approximately 29,000 employees. Its class B shares are listed on the OMX Nordic Exchange in Helsinki, Finland.
www.kone.com

About Xcel Energy:

Xcel Energy (NYSE:XEL - News) is a major U.S. electricity and natural gas company with regulated operations in eight Western and Midwestern states. Xcel Energy provides a comprehensive portfolio of energy-related products and services to 3.3 million electricity customers and 1.8 million natural gas customers through its regulated operating companies. More information is available at www.xcelenergy.com.

About Power Efficiency Corporation:

Power Efficiency Corporation is a green energy 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 15-35% 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 a 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.

Contacts for Power Efficiency Corporation:
B.J. Lackland, CFO
Christine Toledo, Media Contact
702-697-0377