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COMBINED HEAT AND POWER

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COMBINED HEAT AND POWER ( combined-heat-and-power )

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Executive Summary Combined Heat and Power (CHP) solutions represent a proven and effective near-term energy option to help the United States enhance energy efficiency, ensure environmental quality, promote economic growth, and foster a robust energy infrastructure. Using CHP today, the United States already avoids more than 1.9 Quadrillion British thermal units (Quads) of fuel consumption and 248 million metric tons of carbon dioxide (CO2) emissions annually compared to traditional separate production of electricity and thermal energy. This CO2 reduction is the equivalent of removing more than 45 million cars from the road. In addition, CHP is one of the few options in the portfolio of energy alternatives that combines environmental effectiveness with economic viability and improved competitiveness. This report describes in detail the four key areas where CHP has proven its effectiveness and holds promise for the future—as an: • Environmental Solution: Significantly reducing CO2 emissions through greater energy efficiency • Competitive Business Solution: Increasing efficiency, reducing business costs, and creating green-collar jobs • Local Energy Solution: Deployable throughout the US • Infrastructure Modernization Solution: Relieving grid congestion and improving energy security As an efficiency technology, CHP lowers demand on the electricity delivery system, frequently reduces reliance on traditional energy supplies, makes businesses more competitive by lowering their costs, reduces greenhouse gas and criteria pollutant emissions, and refocuses infrastructure investments towards a next-generation energy system. Already used by many large industrial, commercial, and institutional facilities, CHP is a proven and effective energy resource, deployable in the near term, that can help address current and future US energy needs. Incorporating commercially available technology, CHP can provide an immediate solution to pressing energy problems. CHP is one of the most promising options in the US energy efficiency portfolio. It is not a single technology but a group of technologies that can use a variety of fuels to provide reliable electricity, mechanical power, or thermal energy at a factory, university campus, hospital, or commercial building—wherever the power is needed. CHP’s efficiency comes from recovering the heat that would normally be wasted while generating power to supply the heating or cooling needs of the user. By capturing and utilizing waste heat, CHP requires less fuel than equivalent separate heat and power systems to produce the same amount of energy services. Because CHP is located at or near the point of use, it also eliminates the losses that normally occur in the transmission and distribution of electricity from a power plant to the user. CHP, or cogeneration, has been around in one form or another for more than 100 years; it is proven, not speculative. Despite this proven track record, CHP remains underutilized and is one of the most compelling sources of energy efficiency that could, with even modest investments, move the Nation strongly toward greater energy security and a cleaner environment. Indeed, ramping Combined Heat & Power: Effective Energy Solutions for a Sustainable Future 3 CHP is a proven and effective energy option, deployable in the near term, that can help address current and future U.S. energy needs.

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