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Advances in Central Plants:
Combined Heat and Power
Anna Chittum Visiting Fellow
WSSHE
September 22, 2016
The American Council for an Energy-
Efficient Economy (ACEEE)
• ACEEE is a nonprofit 501(c)(3) that acts as a catalyst
to advance energy efficiency policies, programs,
technologies, investments & behaviors.
• Nearly 50 staff based in Washington, D.C.
• Focus on end-use efficiency in industry, buildings,
utilities & transportation
• Other research in economic analysis; behavior;
national, state & local policy.
• Funding:
◦ Foundation Grants (52%)
◦ Contract Work & Gov. Grants (20%)
◦ Conferences and Publications (20%)
◦ Contributions and Other (8%)
www.aceee.org
Our Energy System
Today
Energy Flows
Power Generation 101
Burn fuel
Boil water
Make steam
Spin turbine
Generate and
then transmit
power
Vent flue gases Cool the water
A Lot of Wasted Energy
Costs of Our Current System
• Higher emissions
• Less efficiency
• More investment in transmission due to
losses/lack of efficiency
• Increased costs of energy due to
transmission/distribution constraints
• Poor resiliency, reliability, power quality
Inferior Reliability
SAIDI, including exceptional events
SAIDI, excluding exceptional events
SAIFI, including exceptional events
SAIFI, excluding exceptional events
Data year
(Minutes) (Minutes)
City of Eugene OR 336.90 59.39 0.67 0.41 2014
PacifiCorp OR 259.45 132.44 1.62 1.19 2014
PacifiCorp WA 148.57 124.59 0.87 0.81 2014
Idaho Power Co OR 205.90 203.26 1.63 1.59 2014
Portland General Electric Co OR 245.00 93.00 1.20 0.69 2014
Puget Sound Energy Inc WA 540.00 153.00 1.84 0.96 2014
City of Seattle WA 147.60 69.10 1.48 0.89 2014
US – IEEE 30 143.00 1.29 2011
Denmark 15.86 11.25 0.37 0.32 2013
Germany 32.75 15.32 0.50 0.47 2013 Data sources: U.S. EIA, CEER, IEEE
Image Source: New York Daily News
Combined Heat and
Power (CHP)
Combined Heat and Power
Source: American Council for an
Energy-Efficient Economy
Image Source: Smithsonian Institution
Combined Heat and Power
335 kW GE gas engine
• Not a single
technology
• Suite of technologies,
applied in a certain
manner
• Fundamental idea:
don’t waste the heat!
Combined Heat and Power
Capstone 30 kW
microturbine
Siemens gas turbine – 180 MW
Uses of Heat from CHP:
• Process heat needs
• Sterilization
• Manufacturing
• Domestic hot water
• Residential/hotel
• Swimming pools
• Space heating
• Hydronic/radiators
Combined Heat and Power
Heat displaces…
• Onsite boilers
• Furnaces
• Electric- or gas-powered steam generation
units
• Hot water heaters
Why CHP in Hospitals?
• Continuous and stable energy demands
24/7/365
• Sterilization needs
• Backup power needs
• Disasters: critical area of services
• Anchor load for broader community
energy resources
Benefits of CHP
Benefits of CHP
• Overall energy savings and reduced costs
• Reduced emissions
• Reduced risks for utilities
• Reduced transmission and distribution losses
• Increased resiliency and reliability
• Support for greater grid flexibility/RE
integration
Source: Chittum and Farley 2013
Efficiency and Emissions Benefits
Source: US EPA
CHP Today
CHP in the U.S. Today
• 8% of generating capacity (85 GW)
• 12% of production, on per kWh basis
• Obama Executive Order: 40 GW goal by
2020
• Existing CHP database:
https://doe.icfwebservices.com/chpdb/
CHP in the U.S. Today
http://energyoutlook.naseo.org/Data/Sites/6/media/presentations/Hedman.pdf#
>4,400 CHP Sites
(2014)
Saves 1.8 quads of
fuel each year
Avoids 241 M metric
tons of CO2 each year
Source: DOE CHP Installation Database (U.S. installations as of Dec. 31, 2014)
CHP in the U.S. Today
CHP in Hospitals
• Today: over 200 hospitals in the U.S.
use CHP for heating, cooling, and power
needs
• Potential: earn revenue for offering other
kinds of services that will be
increasingly needed in Pacific
Northwest
Costs and Performance
Installed Cost
($/kW)
Total Efficiency Typical Sizes
Gas Turbines $1,000-$3,000 65-70% 2-50MW
Reciprocating
Engines
$1,400 - $3,000 76-80% 100kW – 9MW
Microturbines $1,700-$2,700 69-78% 30kW – 1MW
Data source: https://www.epa.gov/chp/chp-technologies
Relationship to Electric Utility
• Interconnection agreement
• WA: tiered, fast-track under 300 kW
• Buy backup and standby power from
your electric utility
• Optional: ability to island, black start
• Washington: PURPA QF in place, low
avoided costs
Potential Financial Arrangements
• Fully own
• Lease arrangement
• Long-term PPA/energy services contract
• 10-20 years or more
• Typically, energy savings reinvested into
conservation or other facility
improvements
Case Studies
LOTT Clean Water Alliance, WA
• 335 kW reciprocating
engine
• Anaerobic digestion,
gas fuels engine
• Total project cost:
$2.48 million
• Savings of
$150,000/year in
energy costs
NY Presbyterian Hospital, NY
o 7.5 MW gas turbine
o Sited near stressed
substation
o Existing boiler location
o $31 million project
o $5-6 million saved/yr
o Fully island-able
o 2,400 beds
o 10% more fuel, 80%
less electricity
Source: https://www.nyserda.ny.gov/-/media/Files/EERP/Combined-Heat-
and-Power/2012-CHP-Conference/2012-CHP-Grube-Presentation.pdf#
Dell Children’s Hospital, TX
Image Source:
http://apps1.eere.energy.gov/buildings/publications/pdfs/alliances/hea_dell_business_case.pdf#
4.3 MW gas turbine
$18 million construction
costs
Owned by Austin Energy
Excess power: to grid
30 year contract for energy
products
Gunderson Health System, WI
• $2 million/yr saved in
efficiency alone
• 1.1 MW reciprocating
engine
• Gas from nearby landfill
• 12 year expected
payback
Montefiore Medical Center, NY
• 5 MW gas turbine
• $10 million project
• Saves $2-3 million a
year in energy
• Accepted 27 patients
from other hospitals
during Sandy
• 6 from NYU NICU
Princeton University, NJ
• 15 MW gas turbine
• 422,000 lbs/hr heating
• 180 buildings
• Saves $3-5 million/year
• Place of refuge during
Sandy
• Integrates 5MW solar
PV
• Chilled water storage
Princeton University, NJ
Source: https://tiger-energy.appspot.com/home
Where Are the
Opportunities?
CHP in Washington
• Washington: 35 CHP sites
• Total CHP: 1.1 GW installed (about
same as Rocky Reach);
• ODOE/WSU: 6 GW potential region-
wide
CHP in Washington
Source: U.S. DOE Analysis Combined Heat and Power Technical
Potential March 2016. http://bit.ly/1qF0pce
50-500 kW 0.5 - 1 MW 1 - 5 MW 5 - 20 MW > 20 MW Total
SIC Business Type Sites MW Sites MW Sites MW Sites MW Sites MW Total Sites Total MW
4222 Refrigerated Warehouses 30 4 2 1 0 0 0 0 0 0 32 6
4581 Airports 2 1 1 1 0 0 1 10 0 0 4 12
4952 Water Treatment 35 4 1 1 1 1 0 0 0 0 37 6
5411 Food Stores 378 54 0 0 1 1 0 0 0 0 379 55
5812 Restaurants 302 28 0 0 1 2 0 0 0 0 303 30
6512
Commercial Office
Buildings 1,265 63 389 156 97 58 0 0 0 0 1,751 277
6513 Multifamily Buildings 293 22 106 53 16 16 0 0 0 0 415 91
7011 Hotels 283 35 17 10 17 25 0 0 0 0 317 70
7211 Laundries 21 4 0 0 1 1 0 0 0 0 22 5
7374 Data Centers 62 10 3 2 3 4 0 0 0 0 68 15
7542 Car Washes 24 2 0 0 0 0 0 0 0 0 24 2
7832 Movie Theaters 0 0 0 0 0 0 0 0 0 0 0 0
7991 Health Clubs 85 9 0 0 1 1 0 0 0 0 86 11
7997 Golf/Country Clubs 76 9 0 0 0 0 0 0 0 0 76 9
8051 Nursing Homes 197 23 0 0 0 0 0 0 0 0 197 23
8062 Hospitals 57 13 15 10 32 70 1 6 0 0 105 99
8211 Schools 0 0 0 0 0 0 0 0 0 0 0 0
8221 College/Univ. 40 7 3 2 45 117 6 74 1 26 95 227
8412 Museums 21 3 0 0 0 0 0 0 0 0 21 3
9100 Government Buildings 200 31 25 17 23 43 2 15 0 0 250 107
9223 Prisons 11 2 2 2 7 15 0 0 0 0 20 19
9711 Military 17 3 1 1 8 20 3 20 1 40 30 84
Total 3,759 379 581 265 257 384 13 126 2 66 4,612 1,220
Source: U.S. DOE Analysis Combined Heat
and Power Technical Potential March 2016.
http://bit.ly/1qF0pce
Washington State All Commercial CHP Technical Potential –
Topping Cycle, Waste Heat to Power, and District Energy
o Will the selected
configuration provide
adequate waste heat levels
for heating and/or cooling?
o Are there potential
installation issues –
estimate installation costs?
o What do basic economics
look like?
o Is there a use for the CHP
waste/recycled heat?
o Is there a major rehab or
thermal equipment change
planned?
o Is there sufficient “spark
spread”?
o Identify size and type prime
mover to meet thermal
requirements (high
efficiency).
Is the application worth pursuing with a formal analysis?
Considerations
Resiliency Considerations
Diesel backup generators
• Fuel storage/maintenance issues
• When not running: does not contribute to
hospital’s profit
• What do you do when you run out of fuel?
• Recent decision from City of Portland: need
not have diesel as backup for critical
facilities if you have natural gas
A Feasibility Analysis Typically Involves:
o Electrical load profiling
o Thermal load profiling
o Unit sizing
o Thermal use determination (what to do with the heat)
o Installation cost estimations
o Financial calculations (simple payback, ROI, etc.)
o Cost/savings information compared to what your facility would pay if the CHP system were not installed
Screening and
Preliminary Analysis
Feasibility Analysis
Investment Grade
Analysis
Procurement, Operations,
Maintenance
Opportunities in Washington
• Washington: above-average ranking in
CHP policies
• High efficiency CHP qualifies as
“conservation”
• Biomass CHP qualifies as “renewable”
• 2015: legislature passed H.B. 1095 • http://lawfilesext.leg.wa.gov/biennium/2015-
16/Pdf/Bills/Session%20Laws/House/1095-S2.SL.pdf
Beyond the Fence
District Heating/Cooling
Source: International District Energy Association
District Heating
Microgrids
Many definitions
• Can island from larger grid
• Can support connected loads for
multiple days
• Can integrate CHP + solar + storage +
load shedding
• Military bases leading microgrid
development
Read More!
• Installed CHP in Washington:
https://doe.icfwebservices.com/chpdb/state/WA
• CHP Technology Catalog:
https://www.epa.gov/chp/chp-technologies
• CHP Potential (DOE Analysis):
http://energy.gov/sites/prod/files/2016/04/f30/CHP%20
Technical%20Potential%20Study%203-31-
2016%20Final.pdf
Read More!
• U.S. Department of Energy guidebook for CHP in
hospitals:
https://www.wbdg.org/ccb/VA/VASUSTAIN/chp_hospit
al_guidebook.pdf
• U.S. Environmental Protection Agency’s CHP
Partnership: https://www.epa.gov/chp
Thank you!
Anna Chittum
Visiting Fellow
Portland, OR
503-232-0902
Join us for the 2017 ACEEE Summer Study on Energy Efficiency in Industry
Denver Marriott City Center
Denver, CO
August 15-18, 2017
http://aceee.org/conferences/2017/ssi
Extra Slides
o Size range: 10 kW to 18 MW
o Characteristics: o Thermal can produce hot water, low-
pressure steam, and chilled water (through absorption chiller)
o High part-load operation efficiency o Fast start-up o Minimal auxiliary power requirements
for black start
Example applications: Food Processing, Office Buildings, Multifamily Housing, Nursing Homes, Hospitals, Schools, Universities, Wastewater Treatment, Correctional Facilities
Prime Mover: Reciprocating Engines
Source: DOE/EPA Catalog of CHP Technologies
o Size range: 500 kW to 300 MW
o Characteristics: o Produces high-quality, high-
temperature thermal that can include high-pressure steam for industrial processes; and chilled water (with absorption chiller)
o Efficiency at part load can be substantially less than at full load
Example applications: Hospitals, universities, chemical plants, refineries, food processing, paper manufacturing, military bases
Prime Mover: Gas Turbine
Source: DOE/EPA Catalog of CHP Technologies
o Size range: 30 kW to 1,000 kW
o Characteristics: o Thermal can produce hot water, steam, and
chilled water o Compact size and light weight, brought on line
quickly o Inverter-based generation can improve power
quality o Usually below 200 kW unless multiple units
utilized
o Example applications: Multifamily housing, hotels, nursing homes, wastewater treatment, gas and oil production
Prime Mover: Microturbines
Source: DOE/EPA Catalog of CHP
Technologies
