Combined Heat and Power (CHP)
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CHP, also known as cogeneration, plays an important part in meeting energy requirements and reducing the environmental impact of power generation, providing numerous benefits to both the user and the environment. A CHP scheme will dramatically cut costs because it operates at much higher efficiencies than other forms of power generation.
CHP is a simple concept which involves a cost-efficient means of generating both electrical and thermal energy from the same fuel source. The electricity generated by the gas turbine generator can be used as an “island” solution for stand-alone power supply in manufacturing plants and industrial facilities. However, the gas turbine exhaust is packed with thermal energy which, in a CHP solution, can be recovered in a heat exchanger to generate either steam or hot water for further application.
Municipal utilities can use the steam for district heating, and industrial users benefit from using it in production processes, e.g. for heating or drying. Alternatively steam can be used in absorption chillers to cool industrial processes or warehousing facilities.
A CHP system is one of the most efficient ways of converting fuel into useful energy. You can expect a conversion efficiency of up to 95% from a well designed scheme.
CHP Case Study: The UPM Caledonian paper mill in Irvine, Scotland, UK. This biomass plant generates heat and power using waste timber as fuel.