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     Welcome to the California Distributed Energy Resources Guide
     DER Equipment

    Combined Heat & Power


    | Applications | Performance | Cost | Strengths & Weaknesses | Future Development | Vendors |

    CHP systems may require a higher first cost and installation cost, but in many cases, the overall economic benefit will be greater. The table below lists additional strengths and weaknesses for CHP systems.

    Combined Heat and Power (CHP)
    Strengths Weaknesses
    Better economics (reduced energy consumption, reduced energy costs) Higher first cost, increased maintenance costs
    Lower emissions (avoided energy consumption to generate heat) May require additional design/integration during installation (for non-packaged systems)
    Higher overall efficiency Magnitude of the efficiency increase depends on the ratio of electric to thermal demand, the total energy utilization
    Improved reliability  

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    Page Updated: October 18, 2004