Produce your own heat and power and get paid for doing it
Combined Heat and Power units are ideal for businesses which have a high and consistent energy demand. Both heat and electricity from a CHP unit will significantly reduce your business’s utility bills. CHP units have proven very successful in a range of sectors from leisure and industry, to forestry and agriculture.
The Combined Heating Power process generates electricity while capturing the usable heat which is produced. This provides a highly efficient, economical alternative to other conventional methods, where vast amounts of heat is wasted. CHP can put large quantities of renewable energy, like biomass, to good use, achieving a total system efficiency of 90%.
Combined Heat and Power systems provide a number of valuable benefits that can help to improve the energy efficiency of businesses, cutting the overall energy costs and providing additional income. Here are a few examples of typical benefits from adding a CHP system.
Electricity is also generated and used on-site or sold back to the grid or a third party.
Attracts the government’s Renewable Heat Incentive (RHI) for a 20 year income stream.
High heat and electrical demand can substantially reduce energy costs.
Combined Heat and Power systems payback varies depending on the application and any additional infrastructure required. Typically, with CHP we are seeing payback periods of around 3 years and sometimes shorter.
- 1.2 megawatt Biomass CHP with drying equipment and shed costing £1.2m will pay back in approximately 3-4 years.
- This includes fuel costs, RHI and ROCS income but excludes any income derived from sales of the dried product.
Banks tend to be comfortable with lending for these projects, fully funded options are also available where the funder will collect the RHI and ROCS income.