Combined Heat and Power – Efficient, Sustainable and Local.
- Chris Mulvey
- Sep 18, 2014
- 2 min read
Updated: May 26, 2021
Marketing Collateral (SourceOne) - Copy edited here to remove company specific information.

Overview Traditionally thermal energy (heating and cooling) and electricity have been produced separately. Conventional power generation converts only 25-35 percent of fuel into useful energy; the rest is wasted. Combined Heat and Power (CHP), simultaneously generates electricity and thermal energy by capturing the wasted heat produced during the production of electricity. CHP plants recycle that captured heat as useful thermal energy converting up to 85 percent of fuel into useful energy. As a result, CHP technology consumes substantially less fossil fuel than traditional technologies, decreasing greenhouse gas emissions and waste. By delivering a localized, uninterrupted energy supply, CHP reduces fuel requirements, saves money, and reduces exposure to market fluctuations and severe weather.
Analysis A feasibility Study is the first step to implementing CHP technology. The study establishes the technical, economical and regulatory requirements for the potential deployment. It is an essential component in ensuring the economic viability and successful operation of any CHP project. Technical - From a technical standpoint, a fully developed understanding of facilities’ energy load profile is necessary. This includes consumption history, operations, equipment and utility interconnection. Economic - Establishing economic project specifics means understanding the overall cost of developing the CHP plant. This includes calculating a variety of options, as well as potential hidden costs. It also means understanding what economic incentives are available on the federal, state and local level, as well as those available with the local utility provider. Determining annual cost savings and return on investment, requires analyzing a variety of different scenarios based upon changing circumstances or goals, and to weigh them against each other. Examples are comparative analysis of sustainability, reliability and budgetary concerns. Optimizing these often-conflicting factors against the project’s goals is integral. Regulatory - Establishing the project’s regulatory specifics means understanding all federal, state and local requirements. Understanding these requirements is necessary to making sure that a project is viable and helps avoid potential cost-killing fines and delays. Plant Design and Optimization Successful design of a CHP system requires a combination of engineering, construction logistics, and load analysis skills. The design of the CHP plant needs to take into account every aspect of the facilities that the plant will service. The plant’s design needs to optimize performance. It is often overlooked, but necessary to outline potential tradeoffs between electric generation and thermal heat recovery. Optimizing these parameters requires a thorough understanding of the project objectives and facilities’ energy load profile. Proper sizing and selection of equipment, namely prime movers, heat recovery equipment, and plant auxiliaries, are all essential to successful CHP implementation. The prime mover size and type need to be modeled against the facility load profiles. Correctly sizing the prime mover is an integral component of a successful design. Commissioning The final step in CHP plant development is commissioning the plant. One of the keys to successful commissioning is early engagement. Engaging quality commissioning agents early in the project ensures that potential errors are resolved before they result in costly delays.