Cogeneration, CHP


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Cogeneration, CHP


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Title: Cogeneration, CHP

Cogeneration, CHP As a Future Power Heat
Presented By P. S. Jalkote, EA-0366 Manager (
Operations EMC ) Reliance Energy Ltd. DTPS,
  • Introduction.
  • What is Cogeneration (CHP) ?
  • Why Cogeneration ?
  • Cogeneration Principle.
  • Cogeneration Technologies.
  • Application of Cogeneration.
  • Economics of Cogeneration.
  • Usefulness of Cogeneration Technology.
  • Policies.
  • Summary.

  • YesI, you, society, organization, state,
    nation and world need development.
  • Not only development but a Sustainable
  • Sustainable development benefits social,
    economic, technological, and environmental.
  • Power (electricity) and Heat (i.e.CHP) plays a
    major role for development.
  • Yes Cogeneration, Combined Heat and Power (CHP)
    can fulfill it for long way.

What is Cogeneration ?
  • Cogeneration the simultaneous production of
    heat and power, with a view to
    the practical application of both products.
  • A way of local energy production.
  • Used instead of separate production of heat and
  • Heat is main product, electricity by-product or
  • Uses heat that is lost otherwise.
  • Way to use energy more efficiently.
  • Different areas of application.
  • Different technologies.

Why Cogeneration ?
  • Improve energy efficiency.
  • Reduce use of fossil fuel.
  • Reduce emission of CO2.
  • Also,
  • Reduce cost of energy.
  • If heat fits demand, the cheapest way of
    electricity production.
  • Improve security of supply.
  • Use of organic waste as fuel.
  • Position on energy market.

Why Cogeneration ?
  • Conventional power generation, on average, is
    only 35 efficient.
  • Up to 65 of the energy potential is released as
    waste heat.
  • More recent combined cycle generation can
    improve this to 55.
  • In conventional electricity generation, further
    losses of around 5-10 are associated with
    the transmission and distribution of electricity.
  • Through the utilization of the heat, the
    efficiency of cogeneration plant can reach 90
    or more.
  • Cogeneration therefore offers energy savings
    ranging between 15-40.

Separate production of Electricity Heat
Energy Efficiency (I)
Energy Efficiency (II)
Energy Efficiency (III)
Cogeneration Principle
  • When steam or gas expands through a turbine,
    nearly 60 to 70 of the input energy escapes
    with the exhaust steam or gas.
  • This energy in the exhaust steam or gas is
    utilized for meeting the process heat
    requirements, the efficiency of utilization of
    the fuel increases.
  • Such an application, where the electrical power
    and process heat requirements are met from the
    fuel, is termed as Cogeneration.
  • Since, most of the industries need both heat and
    electrical energy, cogeneration can be a sensible
    investment for industries.
  • It is also known as Combined Heat and Power
    (CHP) and Total Energy System.

Classification of Cogeneration Systems
  • There are two main types of cogeneration concepts
  • Topping Cycle plants
  • Bottoming Cycle plants

Topping Cycle
  • A topping cycle plant generates electricity or
    mechanical power first
  • The four types of topping cycle cogeneration
    systems are
  • A gas turbine or diesel engine producing
    electrical or mechanical power followed by a heat
    recovery boiler to create steam to drive a
    secondary steam turbine. This is called a
    combined-cycle topping system.

Topping Cycle
  • 2) The second type of system burns fuel (any
    type) to produce high-pressure steam that then
    passes through a steam turbine to produce power
    with the exhaust provides low-pressure process
    steam. This is a steam-turbine topping system.
  • 3) A third type employs hot water from an
    engine jacket cooling system flowing to a heat
    recovery boiler, where it is converted to process
    steam and hot water for space heating
  • 4) The fourth type is a gas-turbine topping
    system. A natural gas turbine drives a generator.
    The exhaust gas goes to a heat recovery boiler
    that makes process steam and process heat.

Bottoming Cycle
  • A bottoming cycle plant generates heat first.
  • These plants are much less common than topping
  • cycle plants.
  • These plants exist in heavy industries such as
    glass or
  • metal manufacturing where very high temperature
  • furnaces are used.
  • The waste gases coming out of the furnace is
    utilized in a boiler to generate steam, which
    drives the turbine to produce electricity.

Cogeneration Technologies
  • Backpressure Technology.
  • Extraction Condensing Technology.
  • Gas Turbine Heat Recovery Boiler Technology.
  • Combined Cycle Technology.
  • Reciprocating Engine Technology.
  • Micro-turbines.
  • Fuel cells.
  • Stirling engines.

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  • Nowadays there are microturbines as small as 25
  • In general, microturbines can generate anywhere
    from 25 kW to 200 kW of electricity.
  • Microturbines are small high-speed generator
    power plants that include the turbine,
    compressor, generator, all of which are on a
    single shaft.
  • As well as the power electronics to deliver the
    power to the grid.
  • Moving part, use air bearings and do not need
    lubricating oil.
  • They are primarily fuelled with natural gas, but
    they can also operate with diesel, gasoline or
  • similar high-energy fossil fuels. Research is
    ongoing on using biogas.

Fuel cells
  • Fuel cells convert the chemical energy of
    hydrogen and oxygen directly into electricity
    without combustion and mechanical work such as in
    turbines or engines.
  • In fuel cells, the fuel and oxidant (air) are
    continuously fed to the cell.
  • All fuel cells are based on the oxidation of
  • The hydrogen used as fuel can be derived from a
    variety of sources, including natural gas,
    propane, coal and renewable such as biomass, or,
    through electrolysis, wind and solar energy.
  • A typical single cell delivers up to 1 volt. In
    order to get sufficient power a fuel cell stack
    is made of several single cells connected in

Fuel cells
Fuel cells
Stirling engines
  • The Stirling engine is an external combustion
    device and therefore differs
  • substantially from conventional combustion
    plant where the fuel burns inside the machine.
  • Heat is supplied to the Stirling engine by an
    external source, such as burning gas, and this
    makes a working fluid, e.g. helium, expand and
    cause one of the two pistons to move inside a
    cylinder. This is known as the working piston.
  • A second piston, known as a displacer, then
    transfers the gas to a cool zone where it is
    recompressed by the working piston. The displacer
    then transfers the compressed gas or air to the
    hot region and the cycle continues.
  • The Stirling engine has fewer moving parts than
    conventional engines, and no valves, tappets,
    fuel injectors or spark ignition systems. It is
    therefore quieter than normal engines

Stirling engines
Heat-to-Power Ratio
  • Most important technical parameter influencing
    the selection of the type of cogeneration system.
  • The heat-to-power ratio of a facility should
    match with the characteristics of the
    cogeneration system to be installed.
  • It is defined as the ratio of thermal energy to
    electricity required by the energy consuming
  • It can be expressed in different units such as
    Btu/kWh, kcal/kWh, lb./hr/kW.

Heat-to-Power Ratio
Advantages Disadvantages
Advantages Disadvantages
Steam Turbines High overall efficiency Any type of fuel may be used Heat to power ratios can be varied through flexible operation Ability to meet more than one site heat grade requirement Wide range of sizes available Long working life. High heat power ratios High cost Slow start-up.
Gas Turbines High reliability which permits - long-term unattended operation High grade heat available Constant high speed enabling - close frequency Control of electrical output High powerweight ratio No cooling water required Relatively low investment cost per kWe electrical output Wide fuel range capability (diesel, LPG, naphtha, associated gas, landfill sewage) Multi fuel capability Low emissions. Limited number of unit sizes within the Output range Lower mechanical efficiency than Reciprocating engines If gas fired, requires high-pressure supply or in-house boosters High noise levels (of high frequency can be easily alternated) Poor efficiency at low loading (but they can operate continuously at low loads) Can operate on premium fuels but need to be clean of dry
Advantages Disadvantages
Advantages Disadvantages
Reciprocating Engines High power efficiency, achievable over a wide load range Relatively low investment cost per kWe electrical output Wide range of unit sizes from 3 kWe (there are 2,000 3 kWe installations in Germany) upward Part-load operation flexibility from 30 to 100 with high efficiency Can be used in island mode (all ships do this) good load following capability Fast start-up time of 15 second to full load (gas turbine needs 0.5 2 hours) Real multi-fuel capability, can also use HFO as fuel Can be overhaul on site with normal operators Low investment cost in small sizes Can operate with low-pressure gas (down to 1 bar Must be cooled, even if the heat recovered is not reusable Low powerweight ratio and out-of balance Forces requiring substantial foundations High levels of low frequency noise High maintenance costs.
Advantages Disadvantages
Advantages Disadvantages
Stirling engines Technical advantages Much experience in high power range Less moving parts with low friction No internal burner chamber High theoretical efficiency Suitable for mass production. Advantages for micro-cogeneration No extra thermal-boiler necessary Electricity production independent from heat production Very low emissions Easy to control Can be built as an interchangeable unit. Little experience in low power range Poor shaft efficiency by the existing machines (350 800 Watt shaft power) Better efficiency at 3,000 Watt shaft power First machines have been/are very expensive.
Application of Cogeneration
Scale of application Large scale small
scale. Heat usage Special process.
Technology Backpressure, Gas turbine, Combined
cycle, gas engine. User One user more
users. Ownership User cooperation.
Application of Cogeneration
  • Industrial
  • Pharmaceuticals fine chemicals
  • Paper and board manufacture
  • Brewing, distilling malting
  • Ceramics
  • Brick
  • Cement
  • Food processing
  • Textile processing
  • Minerals processing
  • Oil Refineries
  • Iron and Steel
  • Motor industry
  • Horticulture and glasshouses
  • Timber processing

Application of Cogeneration
  • Buildings
  • District heating.
  • Hotels.
  • Hospitals.
  • Leisure centres swimming pools.
  • College campuses schools.
  • Airports.
  • Prisons, police stations, barracks etc.
  • Supermarkets and large stores.
  • Office buildings.
  • Individual Houses.

Application of Cogeneration
  • Renewable Energy
  • Sewage treatment works
  • Poultry and other farm sites
  • Short rotation coppice woodland
  • Energy crops
  • Agro-wastes (ex bio gas)
  • Energy from waste
  • Gasified Municipal Solid Waste
  • Municipal incinerators
  • Landfill sites
  • Hospital waste incinerators

Application of Cogeneration
Application of Cogeneration
Application of Cogeneration
Economic Value of Cogeneration
Depends very much on tariff system. Heat -
avoided cost of separate heat production.
Electricity 1) Less purchase (kWh). 2) Sale of
surplus electricity. 3) Peak sharing. Carbon
credits (future).
Energy Flows
Money Flows
Usefulness of Cogeneration Technologies
  • To reduce power and other energy costs.
  • To improve productivity and reduce costs of
    production through reliable uninterrupted
    availability of quality power from Cogeneration
  • Cogeneration system helps to locate
    manufacturing facility in remote low cost areas.
  • Improves energy efficiency, and reduces CO2
    emissions therefore it supports sustainable
    development initiatives.
  • The system collects carbon credits which can be
    traded to earn revenue.
  • Due to uninterrupted power supply it improves
    working conditions of employees raising their
    motivation. This indirectly benefits in higher
    and better quality production.

Usefulness of Cogeneration Technologies
  • Cogeneration System saves water consumption
    water costs.
  • Improves brand image and social standing.
  • Cogeneration is the most efficient way of
    generating electricity, heat and cooling from a
    given amount of fuel. It saves between 15-40 of
    energy when compared with the separate production
    of electricity and heat.
  • Cogeneration helps reduce CO2 emissions
    significantly. It also reduces investments into
    electricity transmission capacity, avoids
    transmission losses, and ensures security of high
    quality power supply.
  • A number of different fuels and proven, reliable
    technologies can be used.
  • A concurrent need for heat, electricity and
    possibly cooling indicates suitable sites for

Usefulness of Cogeneration Technologies
  • The initial investment in cogeneration projects
    can be relatively high but payback periods
    between 3-5 years might be expected.
  • The payback period and profitability of
    cogeneration schemes depends crucially on the
    difference between the fuel price and the sales
    price for electricity.
  • Global environmental concerns, ongoing
    liberalization of many energy markets, and
    projected energy demand growth in developing
    countries are likely to improve market conditions
    for cogeneration in the near future.

Policies in support of Cogeneration
  • In India, power development is the joint
    responsibility of the Central and State
  • In fact, Section 44 (1) of E(S) Act 1948 bars
    any licensee or any other person other than the
    government or a government corporation from
    setting up a generating station without the
    consent of the State Electricity Board (SEB)
  • And Section 44 (2A) requires the SEB to consult
    the Central Electricity Authority (CEA) before
    issuing a consent for capacities more than 25 MW.
    In India, cogeneration is synonymous with captive
  • Thus there was a need to open an alternative
    route other than private generating companies,
    where the industries themselves will be
    interested in meeting their own power demand by
    pooling resources together. Captive/cogeneration
    power plants offer such an alternative.

  • Cogeneration is proven technology.
  • Cogeneration helps for sustainable development.
  • Cogeneration improves energy efficiency..
  • .if heat is used in a proper way.
  • Otherwise it is just a bad way of electricity
  • Scale is not a limit for cogeneration.
  • Right dimensioning is crucial for economic
  • Economic performance will increase because of
    environmental policy.


for your attention
Cogeneration, the path to profit and
Sustainable development
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Policies in support of Cogeneration
  • Central Government Policy Initiatives
  • The Center asked all state Governments in
    October1995 for the first time to create an
    institutional mechanism allowing
    captive/cogeneration power plants an easy and
    automatic entry through quick clearance, rational
    tariff for purchase of surplus power by the grid,
    and third party access for direct sale of power
    to other industrial units. The Center notified a
    resolution on "Promotion of Cogeneration Power
    Plants" on 6 November1996. The basic features
  • It recognized the importance of cogeneration and
    emphasized its development with the combined
    objectives of promoting better utilization of
    precious energy resources in industrial
    activities and creation of additional power
    generation capacity in the system.
  • Captive power plants of any other persons
    (including juristic persons and excepting
    generating companies) are not subject to the
    provisions of Section 29(2) of the E(S) Act.

Policies in support of Cogeneration
  • It recognized that industry in general and a
    process industry in particular needs energy in
    more than one form, and if the energy
    requirements and supply to the industrial units
    are carefully planned overall efficiency of a
    very high order is possible to achieve.
  • Emphasis on institutional mechanisms highlighting
    the issues involved.
  • Two basic cogeneration cycles have been
  • Topping Cycle - Any facility that uses fuel input
    for power generation and heat for other
    industrial activities. In any facility with a
    supplementary firing facility, it would be
    required that the useful heat to be utilized in
    the industrial activities, is more than the heat
    to be supplied to the system through
    supplementary firing by at least 20.
  • Bottoming Cycle - Any facility that uses waste
    industrial heat for power generation by
    supplementing heat from any fossil fuel.
  • Qualifying RequirementsA facility may qualify to
    be termed as a cogeneration facility if it
    satisfies certain operating and efficiency

Policies in support of Cogeneration
  • Qualifying Requirements for Topping Cycle
  • It depends on the type of fuel used as the
    overall efficiency levels likely to be achieved
    for power generation varies with the choice of
    fuel. For coal and refinery bottoms, the sum of
    useful power output and one half the useful
    thermal output should be greater than 45 of the
    facility's energy consumption. For liquid fuel,
    the sum of useful power output and useful thermal
    output should be greater than 65 of the
    facility's energy consumption.
  • The Facility must be able to supply at least 5 MW
    of power for at least 250 days in a year.
  • Qualifying Requirements for Bottoming CycleThe
    total useful power output in any calendar year
    must not be less than 50 of the total heat input
    through supplementary firing.
  • Benefits of Cogeneration Systems
  • High efficiency - by utilizing the same fuel to
    provide heat and electricity, and thereby reduce
    fuel consumption, fuel cost, electric utility
    bills, and provide economic competitive
    advantages through a maximized return on
    investment capital

Policies in support of Cogeneration
  • More useful energy due to recovery of otherwise
    wasted heat and energy conservation
  • More environment friendly because of efficient
    fuel use and reduced air emissions (GHG, sulfur
    dioxide, nitrogen oxides, particulate) and
    reduced thermal pollution
  • A reliable source of power and process steam or
    heat. This is particularly important in regions
    prone to frequent disruptions in electricity
  • Onsite electricity generation can eliminate
    losses (8-10) in the transmission and
    distribution systems and
  • Low gestation period.
  • Foreign Investment Policy
  • Foreign investors can enter into a joint venture
    with an Indian partner for financial and/or
    technical collaboration and also for setting up
    renewable energy-based power generation projects.
  • Liberalized foreign investment approval regime to
    facilitate foreign investment and transfer of
    technology through joint ventures.
  • The proposals for up to 74 foreign equity
    participation in a joint venture qualify for
    automatic approval.

Policies in support of Cogeneration
  • 100 foreign investment as equity is permissible
    with the approval of the Foreign Investment
    Promotion Board (FIPB).
  • Various Chambers of Commerce and Industry
    Associations in India can be approached for
    providing guidance to investors in finding
    appropriate partners.
  • Foreign investors can also set up a liaison
    office in India.
  • Government of India is also encouraging foreign
    investors to set up renewable energy based power
    generation projects on Build Own and Operate
    (BOO) basis.
  • Policy Initiatives at State Government Level
  • For encouraging investment by the private and
    public sector companies in power generation
    through renewable energy, a set of guidelines
    have been issued by the Ministry of
    Non-Conventional Energy Sources for consideration
    by the States.
  • In addition, some States are providing
    concession/ exemption in State Sales Tax and
    Octroi, etc.
  • Maharashtra allows projects on a co-operative
    basis also and the Maharashtra State Electricity
    Board provides equity participation.
  • Karnataka extends a subsidy of Rs 2.5 million/MW.

Success Story
  • Godavari Sugars
  • The Godavari Sugar Mills Ltd, Sameerwadi,
    Karnataka, has a present crushing capacity of
    8,500 TCD. The management conceived the idea of
    setting up a 24 MW high-efficiency cogeneration
    plant in 1997.
  • Reliance Energy, Noida was the EPC contractor
    for the cogeneration project, and Desein (P) Ltd
    was the project consultant and also the
    Operations Maintenance (OM) contractor for the
    project for five years. Such an EPC/OM contract
    for a cogeneration project was undertaken for the
    first time in India. The 24 MW cogeneration plant
    was synchronized with the Karnataka Power
    Transmission Corporation (KPTCL) grid through a
    sub-station at Mahalingpur on 16 March 2002.
    Commercial operation commenced from April 9,
  • There is a captive consumption of 6 MW during
    the season and 3 MW in the off-season and the
    balance is exported to the KPTCL. Apart from
    power generation, the cogeneration plant also
    meets part of the steam requirements of the sugar
    factory and distillery.
  • The total project cost of Rs 108 crore was met
    with loans (Rs 74 crore) from lDBI, Andhra Bank
    and the State Bank of India (SBI), while the
    equity was met (Rs 34 crore) with the USAID
    GEP-ABC grant of Rs 4.2 crore.

Success Story
  • Godavari Sugars
  • The plant is fully automatic with
    state-of-the-art technology including triple
    modular redundancy in all controls. The plant
    also incorporates the latest version of
    distributed control systems (DCS).
  • Special Features of the Cogeneration Plant
  • The highest capacity bagasse -fired boiler in
  • Turnkey EPC/OM contract for the first time in
  • Fully automatic plant with logic redundancy for
    all criticial controls.
  • Mechanized bagasse stacking.
  • Modern fire-fighting system.