Capstone Turbine Corp., a local manufacturer of microturbine energy generating systems, got a boost last week when New York Mayor Michael Bloomberg announced that the city has implemented a standard to encourage installation of the devices.

The Chatsworth company, with roughly 75 percent of the market share for microturbine technology, stands to benefit tremendously from the announcement. It saw its stock surge more than 18 percent since the announcement, closing Dec. 6 at $1.38.

Capstone, founded in 1988, has sold about 4,500 of its devices worldwide, with the majority of the units sent overseas. But it has been a struggle for the company to gain mainstream acceptance for its products, which use potentially explosive natural gas.

“It’s really been a challenge for us over the last two years,” said Chief Executive Darren Jamison. “The main holdup was getting the permits. It’s been held up by bureaucratic red tape.”

New York officials have been wary of using natural gas in an urban setting since an incident in which a gas line exploded several years ago.

A microturbine, which is about the size of a large refrigerator, is similar to a jet engine, but instead runs on natural gas to produce energy. One unit can power a small office building. The device is roughly 80 percent efficient more than twice as efficient as coal-based utilities which results in less pollution than traditional energy systems.

New York passed its new rule under a citywide initiative to reduce greenhouse gas emissions 30 percent by 2030. Residential and commercial buildings generate the bulk of the city’s emissions.

Jamison said he expects the New York decision to spur other U.S. cities to adopt similar standards, but not necessarily in California. A number of strict environmental regulations have hampered sales opportunities.

The company only two months ago was able to come in line with the regulations set forth by the California Air Resources Board. What’s more, before the end of the month, the state will end an incentive program for building owners to generate their own energy.

“While New York is offering more tax breaks for the technology, the benefits the state of California offer are drying up or are already gone,” Jamison said. “It’s a shame.”