For the record, that's high school chemistry, and I'm not writing off the potential of the startup. If they can bring costs down, this has potential wherever you'd normally have a backup generator, or wherever co-generation is efficient.
I do call BS on their green claims, just as I'll call BS on the developing countries bit.
Sorry, but when you throw out the word "bullshit" after spending 5 minutes analyzing the work of people who seem to genuinely want to make a positive difference in the world, you deserve ridicule. I stand by my reply and will take the karma hit since I see negative folks like yourself as poison to a community of entrepreneurs like HN.
People who have run startups know that the know-it-all who learns about their company in a 5 minute overview and says with authority "bullshit" are the types of people you quickly remove from your life since they are not going to provide any valuable, honest criticism.
Appropriate given:
http://news.ycombinator.com/item?id=1141536
If you actually did a little resarch you would realize the point here is that it not only reduces carbon output vs. combustion (and likely makes this output less polluting) but is designed for developing countries lacking a grid to have a better outlet to produce energy efficiently.