Combined Heat & Power

Combined Heat and Power Basics Combined heat and power (CHP), also known as cogeneration, is:

The concurrent production of electricity or mechanical power and useful thermal energy (heating and/or cooling) from a single source of energy.
A type of distributed generation, which, unlike central station generation, is located at or near the point of consumption.
A suite of technologies that can use a variety of fuels to generate electricity or power at the point of use, allowing the heat that would normally be lost in the power generation process to be recovered to provide needed heating and/or cooling.

CHP technology can be deployed quickly, cost-effectively, and with few geographic limitations. CHP can use a variety of fuels, both fossil- and renewable-based. It has been employed for many years, mostly in industrial, large commercial, and institutional applications. CHP may not be widely recognized outside industrial, commercial, institutional, and utility circles, but it has quietly been providing highly efficient electricity and process heat to some of the most vital industries, largest employers, urban centers, and campuses in the United States. While the traditional method of separately producing usable heat and power has a typical combined efficiency of 45%, CHP systems can operate at efficiency levels as high as 80%.

Benefits of CHP

CHP can Reduce 60% of CO2 Growth

Benefits of Combined Heat and Power Combined heat and power (CHP) positively impacts the health of local economies and supports national policy goals in a number of ways. Specifically, CHP can:

Enhance our energy security by reducing our national energy requirements and help businesses weather energy price volatility and supply disruptions
Advance our climate change and environmental goals by reducing emissions of CO2 and other pollutants
Improve business competitiveness by increasing energy efficiency and managing costs
Increase resiliency of our energy infrastructure by limiting congestion and offsetting transmission losses
Diversify energy supply by enabling further integration of domestically produced and renewable fuels
Improve energy efficiency by capturing heat that is normally wasted.

Through continued research, development, and outreach, DOE and its partners could help to dramatically increase CHP's share of U.S. electricity generating capacity. Expanded use of CHP will help meet national energy, economic, and environmental goals. A recent study by Oak Ridge National Laboratory "Combined Heat and Power: Effective Energy Solutions for a Sustainable Future" has foucnt that significant benefits would accrue by raising the CHP share to 20%. Specifically, if 20% of electricity generation capacity - about 240,900 megawatts (MW) per year - comes from CHP by 2030, the United States will see:

Reduced annual energy consumption — about 5,300 trillion British thermal units (Btu)/year
Total annual CO2 reduction — 848 million metric tons (MMT)
Total annual carbon reduction — 231 MMT
Acres of forest saved — 189 million acres
Number of cars taken off the road — 154 million
Leveraged additional private investments — $234 billion
New jobs created — 1 million

Content Credit: U.S. Department of Energy - Office of Energy Efficiency & Renewable Energy