Combined Heat and Power

Combined Heat and Power, or CHP as it is more commonly referred to, is the simultaneous generation of usable heat and power (usually electricity) in a single process. In other words, it utilizes the heat produced in electricity generation rather than releasing it wastefully into the atmosphere. CHP is also sometimes referred to as co-generation.

CHP offers energy and environmental benefits over electric-only and thermal-only systems in both central and distributed power generation applications. CHP systems have the potential for a wide range of applications and their higher efficiencies result in lower emissions than separate heat and power generation system. The advantages of CHP broadly include the following:

  • The simultaneous production of useful thermal and electrical energy in CHP systems lead to increased fuel efficiency.
  • CHP units can be strategically located at the point of energy use. Such onsite generation avoids the transmission and distribution losses associated with electricity purchased via the grid from central stations.
  • CHP is versatile and can be coupled with existing and planned technologies for many different applications in the industrial, commercial, and residential sectors.