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value is given to the thermal output of the CHP because it does not displace any natural gas purchases. As a result, there is no variation in the value of thermal output by climate zone, and the cost to generate is estimated to be constant for each climate zone. Of the three cases modeled, Case 1 results in the highest cost to generate, although in areas with high retail electric rates, CHP projects can have an acceptable payback period. • Table 13 presents the cost-to-generate results for Case 2. This case assumes the site uses digester gas in its boiler to provide digester heating and purchases natural gas for space heating (when needed) prior to CHP, resulting in a thermal credit for reductions in natural gas purchases used for space heating. To account for the fact that space heating requirements are highest during cold winter periods when digester heating loads are also at their peak, the analysis employed a seasonal digester load factor to adjust for peak loads.34 For most climate zones and WWTF capacities, the thermal credit was very small and had minimal impact on the cost to generate. The thermal credit for space heating results in a lower cost to generate only in warmer climates, where less energy is required to heat the digester. • Table 14 presents the cost-to-generate results for Case 3. This case assumes the site uses natural gas to provide all digester and space heating, resulting in a full thermal credit. In this case, the thermal credit is much more substantial and reduces the cost to generate by several cents in all climates for all WWTF sizes as compared to Case 2. The research conducted for this analysis indicates, however, that Case 3 is atypical and that Case 2 represents the most frequently observed practice. Appendix D provides state-by-state cost-to-generate estimates for Case 1, Case 2, and Case 3 for each type of CHP system. Table 12: Estimated Cost to Generate Anaerobic Digester Gas Electricity (Case 1 – No Natural Gas Purchases Displaced) Estimated Cost to Generate ($/kWh) Climate Zone WWTF Plant Size (MGD) Corresponding CHP System Size (kW) Micro turbine Rich Burn Engine Fuel Cell Lean Burn Engine Turbine 1–5 (All Zones) 1–5 5–10 10–20 20–40 40–150 >150 30–130 130–260 260–520 520–1,040 1,040–3,900 >3,900 0.064 0.073 0.064 0.060 0.064 0.060 0.083 0.083 0.083 0.083 0.051 0.051 0.040 0.040 0.032 34 Average digester loads are lower than winter digester loads, and subtracting average digester loads from CHP thermal output leaves more thermal output for space heating than actually is available during winter period. Using seasonal loads is necessary to avoid overstating the amount of surplus heat available for space heating, and the size of the thermal credit. The seasonal digester load factor is the ratio of the winter digester heat load to the average monthly digester heat load. The seasonal digester load factor chosen for the analysis was 1.36 which is based on data from the Cape Fear, NC, and Pittsfield, MA, feasibility analyses (these two analyses provided seasonal data whereas the other analyses cited in Figure 2 did not). 21PDF Image | Combined Heat and Power at Wastewater Treatment Facilities
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