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Combined heat and power as a platform for clean energy systems

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  • Brown, Marilyn A.
  • Herrera, Valentina Sanmiguel

Abstract

Many regions and countries including Europe, China, Japan, and Canada are expanding their combined heat and power (CHP) systems, often coupled with renewable fuels, to provide platforms for clean energy. In the United States, however, CHP market shares are. A cost-benefit analysis of CHP systems in Georgia (an industry-heavy state in the Southeastern U.S.) suggests that the benefits from reduced fuel costs and steam production far exceed the CHP installation and O&M costs. We estimate other benefits, as well, including jobs, cleaner air, public health, and a 2–13% reduction in Georgia’s total carbon emissions. However, the capital-intensive nature of CHP systems can be difficult for host industries, and utilities are reluctant to purchase their excess electricity. Possible approaches to address these barriers include clean energy portfolio standards, regulatory reform, financial incentives such as tax credits. By developing a comprehensive case study methodology for evaluating the expansion of CHP systems, analysts can examine the costs and benefits of cogeneration in other regions with their particular industry profiles, fuel costs, and policies. Analysis of key stakeholders and policy options adds social and behavioral insights for the design of effective government interventions to capture the economic and social benefits of CHP systems.

Suggested Citation

  • Brown, Marilyn A. & Herrera, Valentina Sanmiguel, 2021. "Combined heat and power as a platform for clean energy systems," Applied Energy, Elsevier, vol. 304(C).
  • Handle: RePEc:eee:appene:v:304:y:2021:i:c:s0306261921010461
    DOI: 10.1016/j.apenergy.2021.117686
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    References listed on IDEAS

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    1. Muller, Nicholas Z., 2014. "Using index numbers for deflation in environmental accounting," Environment and Development Economics, Cambridge University Press, vol. 19(4), pages 466-486, August.
    2. Wang, Jiawei & You, Shi & Zong, Yi & Træholt, Chresten & Dong, Zhao Yang & Zhou, You, 2019. "Flexibility of combined heat and power plants: A review of technologies and operation strategies," Applied Energy, Elsevier, vol. 252(C), pages 1-1.
    3. Brown, Marilyn A. & Cox, Matt & Baer, Paul, 2013. "Reviving manufacturing with a federal cogeneration policy," Energy Policy, Elsevier, vol. 52(C), pages 264-276.
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    Cited by:

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    2. Khoshgoftar Manesh, Mohammad Hasan & Davadgaran, Sepehr & Mousavi Rabeti, Seyed Alireza & Blanco-Marigorta, Ana M., 2024. "Optimal 4E evaluation of an innovative solar-wind cogeneration system for sustainable power and fresh water production based on integration of microbial desalination cell, humidification- dehumidifica," Energy, Elsevier, vol. 297(C).
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    4. Kumar Jadoun, Vinay & Rahul Prashanth, G & Suhas Joshi, Siddharth & Narayanan, K. & Malik, Hasmat & García Márquez, Fausto Pedro, 2022. "Optimal fuzzy based economic emission dispatch of combined heat and power units using dynamically controlled Whale Optimization Algorithm," Applied Energy, Elsevier, vol. 315(C).

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