Energy Efficiency Measures
COMBINED HEAT AND POWER
| To learn more about CHP, visit the website of the
Intermountain CHP Center.
The Intermountain CHP Center promotes greater adoption of combined
heating, cooling, and power technologies in the states of Arizona,
Colorado, New Mexico, Utah, and Wyoming. The Center works in the areas
of project support and facilitation, education and outreach, market
assessment, policy review, and coalition building. Visit the
Intermountain CHP Buyer’s Guide website to access information about
vendors, contractors, and distributors who can turn your project idea
into reality. |
|
Combined heat and power (CHP), also known as cogeneration, refers to
generating electricity at or near the place where it is used. The waste heat
from the electricity generation can be used for space heating, water heating,
process steam for industrial steam loads, humidity control, air conditioning,
water cooling, product drying, or for nearly any other thermal energy need. The
end result is significantly more efficient than generating each of these
separately. CHP is sometimes called “recycled energy” because the same energy is
used twice—once for electrical energy and once for thermal energy.
CHP systems are more efficient for two reasons: avoided thermal losses and
avoided transmission and distribution losses. The average power plant in the US
has an electrical efficiency of 33%, and even the best state-of-the-art plants
can only get to the high 50s. The rest is turned into heat, and since power
plants are typically located in remote areas far away from commercial and
industrial areas that could use the heat, this thermal energy gets wasted. In
addition, another 5-10% of the electrical energy is lost while it’s being
delivered long distances over transmission and distribution lines. On the other
hand, smaller power plants can be located close to or even within facilities
which can make good use of both the electricity and the heat, thereby raising
the net total efficiency of generating electricity by a factor of two or more
and saving substantial energy and money. The total efficiency of CHP plants is
often 80% or higher.
Equipment
CHP systems use one or more of the following prime movers: reciprocating
engines, turbines, microturbines, fuel cells, or Stirling engines. Reciprocating
engines and turbines, respectively, are the most common in Colorado.
Microturbines can be a good fit in particular applications. Fuel cells and
Stirling engines, which could still be classified as “emerging technologies,”
each have a unique set of advantages that might make them worth investigating,
though they are somewhat more expensive.
Any of these can be configured to provide domestic water or space heating,
using their waste heat. Some can also be configured to provide process steam or
product drying.
For cooling and air conditioning applications, the waste heat can be used to
run an absorption chiller, adsorption chiller, steam chiller, or a desiccant
dehumidification unit. Of those options, absorption chillers are the most common
and most applicable for our region. A CHP system with an absorption chiller
could provide heating in the wintertime and cooling in the summertime.
Sizing the equipment to meet a site’s thermal load is usually the best
approach, though a detailed analysis can determine the best size and
configuration. Sites with a fairly high and constant thermal load tend to yield
the best economics for CHP.
Fuel
CHP units typically run on natural gas. High and volatile natural gas prices
represent the single biggest risk factor for installing a CHP system. Any good
economic analysis or feasibility study of CHP should include different scenarios
for future natural gas prices.
There are alternatives to using natural gas as the fuel, many of which can be
quite cost effective in Colorado. Any site with waste organic material can
produce methane, which in turn can be used to fuel the CHP. Food and beverage
processing, landfills, wastewater treatment plants, agricultural and feedlot
operations, and forestry thinnings are some of the sources where methane can be
captured and used in CHP. These approaches are growing more and more common,
especially in Colorado. The fuels are also called opportunity fuels, waste
fuels, biogas, biofuels, biomass, or bioenergy. A few modifications to the
equipment and/or some additional fuel conditioning equipment may be required in
order for standard CHP equipment to use the fuel successfully.
Considerations
Other considerations for planning a CHP project, besides sizing the equipment
correctly and carefully considering natural gas price scenarios, include:
- Utility interconnection policies and standby rates
- The possibility of selling excess electricity to the grid when generating
more than is needed
- Looking for available grants and incentives before proceeding with a
project
For additional information, visit the
Intermountain CHP Center website. |