Additionally, there are other ways we can generate fuel which can equally be used in combustion heat exchange and fuel cells. Chief among them is our garbage, much of which can be transformed into raw materials for methane production. Yeah, I know, the AGW folks will be crying foul on this one. I'm going to ignore them for the sake of this argument.
Now, even if you do not eliminate entirely the heavily centralized form of electricity production which we use now, you have dramatically reduced the load on the system as a whole by localizing power production in small modules everywhere. The result: say goodbye to rolling blackouts and cascading grid failures.
[edit - ah, i see that they are hoping to use the "waste" heat to get the overall efficiency up]
Managed to break $400 for December's heating bill. I damn near lost my shit.