This study identifies, characterizes, and assesses combined heat and power (CHP) technologies and applications less than 5 megawatts (MW) for residential, commercial, and light industrial markets in California. Cost, performance, and emissions data are presented for mature CHP technologies, enabling technologies for CHP systems such as absorption chillers and thermal energy storage, and emerging micro-CHP technology options. Potential applications are explored, including buildings with existing CHP installations, types of buildings and loads that are conducive to CHP, and California sites that can support CHP systems.
The market assessment found numerous economically viable applications, with a significant amount of expected adoption. There are 662 MW of CHP systems less than 5 MW currently installed in California, with nearly 1.9 GW of additional CHP capacity less than 5 MW expected to come online over the next 20 years. More than 80 percent of this expected CHP capacity comes from traditional CHP systems between 50 kW and 5 MW in size. However, a large number of sites are expected to install 10-50 kW CHP systems. The future market for 1-2 kW micro-CHP systems for single family homes is uncertain, due to variable residential energy rates and a lack of commercially available equipment, but there could be a large potential market in California for these residential applications.
Natural gas-fueled CHP systems can play an important role in helping California meet greenhouse gas goals. This report also describes opportunities for CHP in microgrid applications and how flexible CHP systems can support the grid while enabling further adoption of renewable energy resources. Also included is a summary of barriers that impede adoption of CHP in California and potential solutions.
Author(s)
Keith Davidson, Rod Hite, David Jones, Annie Howley
