Combined Heat and Power

Combined Heat and Power (CHP) systems, both traditional and new micro systems, are a clean and efficient approach to generating power and thermal energy from a single fuel source. Constructed on-site near a building, campus or industrial processes, CHP systems capture thermal energy from hot exhaust gases for use in space heating, cooling, domestic hot water, dehumidification and process heating.

Installing one of these systems can help you improve operating efficiency, cut energy costs and reduce emissions. And, you can receive incentives up to $2.5 million for installing a CHP system at your facility.

Learn how CHP can work for your business

What is CHP?


CHP systems involve installing a generator at your facility that produces electricity, heating, and cooling. 

Compared to traditional electrical generation units, CHP systems are highly fuel-efficient. Traditional power sources waste about 67% of their fuel, but CHP units only waste about 25% of their fuel. 

CHP systems generate electric and thermal energy from a single fuel source such as natural gas. The CHP engine-driven system, when coupled with a generator, produces electricity. The engine also produces waste heat via exhaust gas, which can be captured to produce steam, hot water for heating, or for use in commercial or industrial facilities. 

In the past, CHP systems were predominantly for large facilities, but new micro systems allow smaller organizations to benefit from a CHP system.

Is CHP Right for My Facility?

With the availability of new micro systems, CHP projects are cost-effective for nearly all facilities. Facilities that often benefit from these projects include:

  • Hospitals and nursing homes
  • Farms
  • Multifamily developments
  • Fitness centers, especially those with swimming pools
  • Hotels
  • Universities
  • Three-shift industrial plants

Get our expert input on whether CHP is right for you by contacting us or one of our CHP developers.


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