COGENERATION
Cogeneration, or combined heat and power (CHP), is a system that produces electricity and heat by utilizing one fuel source. An internal combustion engine, such as a gas or steam turbine, uses the primary fuel source to generate electricity. A large amount of heat is created as a by-product. Commonly lost in traditional power generation, the thermal energy is recovered and used by a heat recovery steam generator (HRSG), which produces steam or hot water for heating and other uses.
Significantly more efficient than traditional power generation (typically runs at 50% efficiency), cogeneration eliminates waste and can offer up to 70-90% energy efficiency.
Key Benefits of Cogeneration
- Reduce Operating Expenses
- Predictable Annual Costs
- Energy Reliability
- Mitigate Electric Capacity Issues
- Extended Lifespan of Equipment
- Cut Carbon Emissions
A feasibility study can determine if cogeneration will provide the financial, operational, and environmental benefits that your facility desires. The analysis will provide your organization with all of the information that you need to make an informed decision.
Feasibility Study Process
Evaluate Existing Conditions
Our team begins by gathering the historical energy usage and utility supply data of the campus. Then, the existing physical conditions of a plant and equipment are analyzed, and management and operational staff are interviewed to gain perspective of existing issues. After, the plant’s operational strategy is examined. Electric and natural gas utility tariffs are evaluated, and state/local programs for financial subsidies to offset capital and/or operational costs are identified. After all data is collected, the information is analyzed, and a preliminary base design is developed.
Design and Savings Analysis
From the base design, a savings analysis is created to illustrate how the proposed system can lower utility costs, energy usage, greenhouse gases, and operational expenditures. The savings analysis allows us to determine the size of the proposed plant, and thus, the estimated project cost.
Estimated Project Cost & Schedule
By leveraging our extensive past project experience and our relationships with major equipment suppliers and MEP contractors, our team will prepare a cost estimate. Along with the price, an enhanced series of financial metrics are calculated (net present value, simple payback, etc.) to provide you with a range of tools to aid with forecasting, board/municipal approvals, and decision making. The next steps and process for construction and implementation are outlined in a detailed project schedule.
After the feasibility study has been completed, your facility will have the tools and information to make an informed decision.