PGW Leading by
Example with CHP Sherif Youssef, P.E., CEM
Philadelphia Gas Works
Director of Sales & Marketing
215-684-6780,
John Zuk
Philadelphia Gas Works
Vice President of Marketing
215-684-6725,
Today’s Agenda • PGW Headquarters
• Four Seasons Hotel Philadelphia
• Benefits of CHP
• CICIP: Incentive Program
• Challenges
• Success Stories
• Why CHP Makes Sense
• Questions
PGW Headquarters
• 200kw on-site microturbine
• Heat exchanger recovers the
heat
• Absorption chiller uses the
recovered heat for cooling
• Saving hundreds of
thousands per year in
operating costs
• Reliable system with 99.99%
uptime
PGW Headquarters • Demonstrative case study – first of its kind in
Philadelphia
• Estimated Annual Savings at design capacity
$130,000
• Estimated simple payback – 3.6 years
• Estimated Life Cycle Savings based on
recorded energy usage - $2.59 million over 20
years
• Data Center
How PGW Started Our Project • DEP Awarded PGW $465,000 matching grant in
December 2009
• PA Green Energy Works Grant funded by the
DOE
• PGW can help identify project funding sources
such as grants, rebates & incentives
Four Seasons Hotel Philadelphia
• (3) 65 kW units
• Heat recovery system
connected to:
– Domestic hot water,
laundry, kitchen, heating
system
Four Seasons Hotel Philadelphia Microturbine Hot
Water Reclamation Domestic Hot Water Hydronic Heating
Logan One
Hot Water
Laundry Hot Water Shower Wastewater
Heat Recovery
Steam Condensate
Recovery
Refrigerant
Condenser Loop
Pool, Hot tub,
Spa
Guest Room
Heating
Kitchen
Hot Water
Energy is neither created nor destroyed
Four Seasons Install
• Focus was on Energy Cost Reduction
• Clean simple installation with local trades
• Drawings, trade selection, installation and start-
up in under 6 months
Four Seasons Hotel
• Original economic analysis indicated a 5 year
simple payback
• Facility is currently on-target to achieve this goal.
• Absent incentive management and cash
opportunity costs, the project is tracking a 3.4
year simple payback
Benefits of CHP
• Clean modular solution
• Expansion capable
• Generate:
100% of Building Hot Water
Needs
30% Building Electric
15% Building Space Heating
• No louder than an outdoor
condensing unit
• Reduce carbon footprint
• Can be monitored remotely
Environmental Benefits of CHP
Increased Efficiency:
– CHP systems require less fuel than equivalent
separate heat and power systems to produce
the same amount of energy
Criteria Air Pollutants:
– Reduced NOx emissions
Greenhouse Gases:
– Reduced carbon footprint
Commercial Industrial Customer
Incentive Program (CICIP) •PGW will pay for the capital cost of the project
through our CICIP program
o Incentive recovered through operating
budget - not capital budget
o Letter of credit
o Cost of money (5%)
o Simple payback of project 3 to 5 years
Natural Gas Stability
What type of Challenges Are We
Facing? • Decision maker
• Resisting changes
• Capital costs
• Not considering site versus source
• More support from the government
• Federal & State
Success Stories • PCOM
• Commercial Buildings
• Navy Yard Fuel Cell
• Independence Visitors Center
• Imperial Towers
• Aimco – 3 apartment buildings
• …and many more in the pipeline!
Why CHP Makes Sense
• There is an abundant supply of natural gas – price
stability
• Offers better control over your energy and
operating costs
• Local product - 85% comes from the US
Sherif Youssef, P.E., CEM
Director of Sales & Marketing
Philadelphia Gas Works
215.684.6780
800 Montgomery Avenue, Philadelphia, PA 19122
www.pgworks.com
Questions?
Sherif Youssef, P.E., CEM
Philadelphia Gas Works
Director of Sales & Marketing
215-684-6780,
John Zuk
Philadelphia Gas Works
Vice President of Marketing
215-684-6725,