Micro Cogeneration (mCHP) Systems: Increasing Efficiency ... · Advanced Modular CHP Systems Market...

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Micro Cogeneration (mCHP) Systems: Increasing Efficiency and Reducing Emissions

Transcript of Micro Cogeneration (mCHP) Systems: Increasing Efficiency ... · Advanced Modular CHP Systems Market...

Page 1: Micro Cogeneration (mCHP) Systems: Increasing Efficiency ... · Advanced Modular CHP Systems Market Barriers in the U.S. •Awareness and Acceptance • UK, Asia, Germany are years

Micro Cogeneration (mCHP) Systems: Increasing Efficiency and Reducing Emissions

Page 2: Micro Cogeneration (mCHP) Systems: Increasing Efficiency ... · Advanced Modular CHP Systems Market Barriers in the U.S. •Awareness and Acceptance • UK, Asia, Germany are years

Headquarters: 120 Water Street, Suite 350, North Andover, MA 01845 With offices in: CA, CT, ME, NY, OR, TX, VT www.ers-inc.com

CHP MARKET TRENDS IN NEW YORK:

IS MICRO CHP NEXT?

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CHP IN NEW YORK

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CHP IN NEW YORK

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Transition from large industrial users to smaller facilities

Multifamily, hotels, etc. gaining traction

Smaller, packaged systems filling this niche

Benefits include energy cost savings, enhanced resiliency, system-wide GHG emissions reductions

NEW YORK MARKET TRENDS

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NEW YORK MARKET TRENDS

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NY State CHP Systems <500 kW Total Capacity by Facility Type

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NEW YORK MARKET TRENDS

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1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

NY State CHP Systems <500 kW, Installations by Year

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Market transformation

<3MW

The catalog approach

Outreach and technical assistance

NYSERDA’S CHP PROGRAM

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Applications/use cases

Barriers to implementation

Are there case studies?

What are the costs? Savings?

Is there a resiliency benefit?

MICRO CHP

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CONTACTS

Gita Subramony

[email protected]

212-789-8182 x 292

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DALE DESMARAIS, DIRECTOR OF BUSINESS DEVELOPMENT

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Advanced Modular CHP

Systems

mCHP - POINTS OF DISCUSSION

• CHP History

• Importance of right-sizing

• Market Barriers in the US

• Changing Landscape?

• Case Study/Sample Installation

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Advanced Modular CHP

Systems

• Defined as two forms of useable energy from one fuel source

Brief History of CHP

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Advanced Modular CHP

Systems

• The CHP concept was first applied in 1882 at Thomas Edison’s Pearl Street Station, the first central power plant in the United States.

• The plant provided electricity and steam to a section of downtown New York.

History of CHP (cont.)

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Advanced Modular CHP

Systems

• The passage of the Public Utility Regulatory Policies Act of 1978 (PURPA) ushered in the modern CHP era. This law included a provision that legalized the sale of non-utility-generated electricity to the grid, which helped increase the use of CHP.

History of CHP (cont.)

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Advanced Modular CHP

Systems

• Combined heat and power (CHP) installations have been becoming steadily more popular as awareness and education about the technology has been growing over the last 40+ years. State & utility incentives have also helped facilitate new projects.

History of CHP (cont.)

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Advanced Modular CHP

Systems

• With the economic recovery and relatively low natural gas prices, we have seen interest in CHP increasing, particularly where the added benefit of electric reliability is valued.

• Another trend expected to encourage CHP in future years is increased demand for emissions reductions, especially with the EPA’s Clean Power Plan.

History of CHP (cont.)

Source: A brief history of CHP development in the United States – ACEEE – American Council for an Energy Efficient Economy

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Advanced Modular CHP

Systems

Right Sizing Is Critical to CHP Success

• It is critical to use as much of the heat as possible in any given CHP application.

- Highest Efficiency

- Maximum Savings (usually)

- Most CO2 Reduction

• Best approach is to size the system to follow the BASE THERMAL LOAD.

(There are reasons to break from this approach based purely on economics.)

Page 19: Micro Cogeneration (mCHP) Systems: Increasing Efficiency ... · Advanced Modular CHP Systems Market Barriers in the U.S. •Awareness and Acceptance • UK, Asia, Germany are years

Advanced Modular CHP

Systems

Right Sizing Is Critical to CHP Success

• It is critical to use as much of the heat as possible in any given CHP application.

- Highest Efficiency

- Maximum Savings (usually)

- Most CO2 Reduction

• Best approach is to size the system to follow the BASE THERMAL LOAD.

(There are reasons to break from this approach based purely on economics.)

250+ rooms

150 – 250 Rooms

80 – 150 rooms

Large Home, Small Commercial, 10-80 rooms

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Advanced Modular CHP

Systems

Market Barriers in the U.S.

• Awareness and Acceptance

• UK, Asia, Germany are years ahead of the U.S. (Thousands more mCHP)

• Scalability (Cost per kW)

• Smaller sizes $4000 - $6000+/kW Installed

• Patience & Experience are key

• Engineering Understanding

• Design Specifications

• Install Resources

• Maintenance Plan is a must

• State Incentives have just begun including smaller systems(many states still do not)

• Trust

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Advanced Modular CHP

Systems

Changing Landscape of Energy

• Hybrid Solutions – CHP is often included in Microgrid projects with Solar & B.S. • CHP is becoming a more widely used and adopted technology • Those who have done larger CHP projects are more open to a smaller solution • Electric tariffs are putting more emphasis on DEMAND charges (Time of Use) • Seasoned CHP providers are finding ways to lower the cost of equipment and

installation. As a result, mCHP project economics are improving

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Advanced Modular

CHP Systems

• Tecogen design ensure quality control & operation.

• Allow for a quick and easy installation.

• Customer can use preferred contractor & contractor can bring in leads.

• Skids are fully assembled with factory quality control.

• Integration skids can be serviced by Tecogen as well as the units themselves.

• Protects investment as run time is more achievable.

• Allows customers the option of adding BOP maintenance to the CHP service contract

TURNKEY LIGHT – PREPACKAGED SYSTEMS

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Advanced Modular CHP

Systems

• 260 Herkimer, Brooklyn, NY

• Annual run time target: 7,224 hrs

• 138 unit apartment building

• One 35kW CHP System

• Installed by Tecogen

• Start-up: 2017

• ConEd/BQDM $$$

• NYSERDA $$$

• 96% of DHW load

• ROI 2.8 years

• Total Annual Savings: $45,909

Sample Installation

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Advanced Modular

CHP Systems

Company Information

Tecogen Inc. 45 First Avenue Waltham, MA 02451 [email protected] 413-315-1778 Mobile www.tecogen.com

Questions?