Advanced Power Projects has raised its first round of venture funding to commercialize a technology that promises to make generating electricity from natural gas cheaper and cleaner.

“We think we can change the way people generate power with natural gas in the U.S.,” said Advanced Power’s President, Tom Mason.

The Fremont, California, company did not reveal the amount of funding, which was led by Bay Partners and Sequoia Capital, but Mr. Mason said it was more than $10 million.

Advanced Partners is hoping to capitalize on rising natural gas prices and a growing demand to reduce greenhouse gas emissions.

About 19 percent of total U.S. electricity is generated from natural gas, according to the American Gas Association.

The company’s product—which can be applied to existing, large natural gas turbines—reduces the amount of gas needed to produce the same amount of electricity by up to 25 percent.

That improvement in efficiency should translate into reduced electricity costs and up to a 25 percent drop in greenhouse gas emissions, said the company. The Simplified Combined Cycle process, as the technology is known, also reduces nitrogen oxides, pollutants that contribute to smog and that have been linked to health problems.

SCC captures combustion gas turbine waste heat and recycles into additional power, eliminating the need for a steam turbine, condenser, and cooling tower.

Advanced Power has an exclusive license to sell the SCC process to large gas turbine owners and operators. Mr. Mason said the company will first target the 1000 large, simple gas turbines in the United States today.

He said it could also be installed on more advanced combined-cycle gas turbines, though the major benefit would be reduced emissions and not improved efficiency.

SCC was created by Dr. Dah Yu Cheng and was first installed on a turbine in the 1980s.