Combined Heat and Power
(CHP) systems optimize energy
dollars by utilizing the heat normally lost during centralized production of electricity
to provide thermal energy for space heating, cooling, steam and hot water. It does this through the integration of a power
system (such as an engine or turbine) and a heat recovery system (usually a boiler),
located on or near the user’s facility.
This example compares electric generation
from a large power plant (source) to an individual CHP plant (site). A CHP
system achieves an efficiency of 85% compared to a separate heat and power system
efficiency of only 45%. By capturing the “waste” heat from power
generation, CHP delivers total system efficiencies of 75% to 85%.
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