There is an increasing interest in Sweden for using also small heat loads for cogeneration of electricity and heat. Increased use of small CHP-plants with heat supply capacities from a few 100 kW(h) up to 10 MW(h) cannot change the structure of the electricity supply system significantly, but could give an important contribution of 2 - 6 TWh(e) annually. The objective of this study was to clarify under what conditions electricity can be generated in small wood fired CHP-plants in Sweden at costs that can compete with those for plants using fossil fuels or nuclear energy. The capacity range studied was 2 - 10 MW(h). The results should facilitate decisions about the meaningfulness of considering CHP as an option when new heat supply systems for small communities or sawmills are planned. At the price for green certificates in Sweden, 250 - 300 SEK/MWh(e), generation costs in small wood fired CHP-plants should be below about 775 SEK/MWh(e) to compete with new nuclear power plants and below about 925 SEK/MWh(e) to compete with generation using fossil fuels.