Combined Heat and Power (CHP) as a Compliance Option under the Clean Power Plan: A Template and Policy Options for State Regulators
Combined Heat and Power (CHP) is an important option for states to consider in developing strategies to meet their emission targets under the US Environmental Protection Agency's Clean Power Plan. This Template is designed to highlight key issues that states should consider when evaluating whether CHP could be a meaningful component of their compliance plans. It demonstrates that CHP can be a valuable approach for reducing emissions and helping states achieve their targets. While the report does not endorse any particular approach for any state, and actual plans will vary dependent upon state-specific factors and determinations, it provides tools and resources that states can use to begin the process, and underscores the opportunity CHP represents for many states. By producing both heat and electricity from a single fuel source, CHP offers significant energy savings and carbon emissions benefits over the separate generation of heat and power, with a typical unit producing electricity with half the emissions of conventional generation. These efficiency gains translate to economic savings and enhanced competitiveness for CHP hosts, and emissions reductions for the state, along with helping to lower electric bills; and creating jobs in the design, construction, installation and maintenance of equipment. In 2015, CHP represents 8 percent of electric capacity in the United States and provides 12 percent of total power generation. Projects already exist in all 50 states, but significant technical and economic potential remains. CHP offers a tested way for states to achieve their emission limits while advancing a host of ancillary benefits.
- Research Organization:
- Inst. for Industrial Productivity, Washington, DC (United States); David Gardiner and Associates, Arlington, VA (United States)
- Sponsoring Organization:
- USDOE; American Gas Association; American Chemistry Council; American Forest and Paper Association
- OSTI ID:
- 1203519
- Country of Publication:
- United States
- Language:
- English
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