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Why Combined Heat & PowerTypical electric power plants only use one-third of the fuel burned to make electricity; the remaining two-thirds is wasted into the environment. A combined heat and power (CHP) plant captures much of the waste heat and uses it to produce steam or hot water, which is distributed to nearby buildings for space heating, domestic hot water and industrial processing use. This capability can nearly double a power plant’s fuel efficiency, while reducing the emissions typically associated with standard electrical production. All told, CHP offers a number of benefits: Energy-efficient. The plant produces more energy per unit of fuel burned. Economical. CHP can reduce a facility’s fuel and electricity costs. Environmentally sound. CHP reduces the amount of fuel burned per unit of energy output, reducing the corresponding emission of pollutants and greenhouse gases. The less energy used, the less sulfur dioxide and carbon dioxide expelled into the environment. Reliable. Staffed 24 hours a day by energy professionals, and with backup systems readily available, CHP plants can operate at extremely high rates of reliability. Flexible. CHP requires less fuel for a given energy output, so it reduces the demand for finite natural resources. Since it involves a central plant, a variety of fuel sources can be used as well, increasing the plant’s flexibility.
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