Understanding cogeneration systems
CSEMAG – Cogeneration systems, also known as combined heat and power (CHP) systems, generate both electricity and usable thermal energy. CHP systems provide a cost-effective method of reducing operating costs, increasing electrical reliability, and reducing greenhouse gases. A CHP system simultaneously converts mechanical work to electrical energy (in most cases) and produces useful heat. The efficiency of a CHP is approximately twice that of a standard utility electric-generating station, because the excess heat from the process is used beneficially in lieu of being dissipated to ambient air. These cogeneration systems, typically used on campuses with high heat load requirements (i.e., colleges, hospitals, and industrial campuses), offer efficiency, ease of system maintenance, and sustainable design opportunities.
CHP plant projects prioritize reliability, efficiency, sustainability, flexibility, and resiliency. CHP offers institutional, industrial, and commercial building owners a well-established means of increasing energy efficiency, decreasing risk of power outages (redundancy through islanding capability), reducing energy-related costs, and reducing greenhouse gas and air-pollutant emissions. The technologies that comprise U.S. capacity broadly align with applications determined by such characteristics as size, efficiency, capital and O&M costs, start-up time, availability, durability, system complexity, and emissions control. Fluency in the details of CHP systems and their performance is the starting point for effective application. While CHP has been around for more than a century, part of its renewed relevance today lies in its role as a vital part of energy projects seeking cleaner, greener energy.
SA needs higher electricity tariffs, IMF says
Business Day Live – ESKOM’S request for an additional electricity tariff increase on Tuesday got unexpected support from the International Monetary Fund (IMF), which said the hike was necessary to make the utility financially sustainable.
The global lender warned that power outages were the biggest obstacle to SA’s economic growth and suggested strict conditions for the tariff hike.
“Higher electricity tariffs and the envisaged government support are necessary to make Eskom financially sustainable, but should be complemented by cost containment, including through improved procurement, efficiency enhancements, and governance improvements to minimise the impact on consumers and business costs,” the IMF said.
Siemens CHP technology to serve world’s largest solution mining plant
COSPP – Siemens is to provide the technology behind Turkey’s largest cogeneration plant, which will itself serve the world’s largest solution mining plant at Kazan in Ankara province.
The German multinational will supply a gas and steam turbine package for the Ciner Kazan Soda combined cycle cogeneration power plant (CHP) for China’s Tianchen Engineering Corporation (TCC) who will act as turnkey EPC contractor in the project. The end customer is Kazan Soda Electric Company of the Ciner Group in Turkey. Commercial operation is scheduled for the end of 2017.
US government provides $55m towards CHP projects
COSPP – The US Energy Department’s Advanced Research Projects Agency-Energy (ARPA-E) is investing $55 million (£34.65m) in combined heat and power (CHP) and biomass projects.
The funding will be divided in two different programmes.
The GENerators for Small Electrical and Thermal Systems (GENSETS) project is receiving $25 million (£15.9m) to make CHP systems affordable and more efficient.
British business lobby criticises government over on-site power complexity
COSPP – The Confederation of Business Industries says that the British government is at fault for failing to maximise the potential of on-site power generation in the UK.
A report from the CBI highlights the growing number of businesses in the country that are reaping the benefits of on-site power.
The number of businesses that generate their own electricity is set to more than double by 2030, according to the research but the report also found that a “lack of clear and coherent” government framework makes corporate on-site power generation more challenging than it should be.
Growing appreciation of on-site power among US businesses
COSPP – A study produced by Deloitte indicates that more than half of large US businesses generate power on site.
The new study finds 55% of large US businesses generate some portion of their electricity on site, representing a growing trend across the last few years.
Almost 80% of the sampled businesses see reducing electricity costs as critical to maintaining a competitive advantage, and most have now put in place formal energy reduction goals.
How electricity powers the revenue of municipalities
Mail & Guardian – Electricity has become an emotionally charged subject thanks to Eskom’s problems, the resultant load-shedding and the price hikes consumers have experienced over the past few years.
The National Energy Regulator of South Africa (Nersa) has approved a guideline increase of 12.2% for municipalities, which came into effect at the beginning of this month, over and above the hike Eskom has been granted.
OECD urges reforms to address South Africa’s ‘structural’ electricity constraint
Mining Weekly – The Organisation for Economic Cooperation and Development’s (OECD’s) latest economic survey of South Africa urges government to increase private electricity generation and pursue fundamental market reforms to address the country’s growth-sapping “structural” electricity constraint. Flanked by Finance Minister Nhlanhla Nene at the release of the report in Johannesburg, OECD secretary-general Angel Gurría said the current electricity shortage was damaging the South African economy, which the organisation expected to grow by only 1.9% in 2015.


