How can CHP (combined heating & power) systems combat the energy crisis?

Escalating energy prices have thrown the ‘spotlight’ on an ever-more compelling sustainable solution for UK companies; Combined Heating and Power (CHP) Systems.

The cost savings provided by CHP installations have been appreciated for some years. However, these savings have been thrown into sharp relief as companies struggle to keep pace with electricity and gas prices, and the spectre of shortages.

The need to act now

There was a substantial scaling upwards in the cost of energy following the pandemic. It was spurred by demand from countries emerging from restrictions, and the inability of energy companies to match it. It led to some suppliers collapsing. Failures that had financial repercussions for all billpayers.

Gas market prices then continued upwards to record highs largely due to concern about Russian gas exports in the face of the continuing war in Ukraine. There is a growing risk of shortages, and the potential for more energy companies to go bust.

Of course, as gas plays such a key role in the production of electricity, the UK wholesale gas and electric prices are firmly linked. This adds up to energy bills continuing to rise well into 2023 and unlikely to fall until at least 2025, as well as the potential for business interruption if energy does need to be ‘rationed’.

That makes it urgent to consider robust solutions like CHP systems now. As we explain below, they could shield companies from some of the worsening economic effects of energy shortages and prices.

What are CHP systems?

Traditionally, direct sources of electricity are used to create heat or control air in buildings. Cogeneration systems offer a way to generate energy on-site, to help buffer companies from the volatile energy marketplace.

It basically works like this: CHP installations recover waste thermal energy and convert that into electricity to create heat. This is achieved using various options such as power generation units (PGUs), fuel cells, steam turbines, reciprocating (piston) engines, combustion turbines or microturbines.

This PGU is situated alongside energy recovery components. A safe heat and energy management system is also integrated into a CHP, to regulate the output.

That means when your system generates thermal energy it can be captured. It is then channelled into electricity to operate the temperature/air needs of your building. A standard CHP can match the energy demands of an air conditioning system in most workplaces.

If your business is in a remote or problematic location, you can even use your CHP installation to support water heating systems across multiple buildings.

All of this adds up to a relatively straightforward way to reduce your organisation’s reliance on the national grid.

How effective are CHP systems?

No doubt to be convinced that CHP systems genuinely help alleviate the energy crisis – and cut costs at your premises – you need figures.

One compelling fact is that they have proven to be far more energy efficient than conventional heat/air options in commercial spaces. With the correct CHP installed – operated by the latest technology - they can be up to 85% more efficient.

Also, you need less fuel to operate a CHP system, which then provides you with two forms of energy – electricity and heat - from one single source. Without potential 'leaking' of electricity that is distributed through power lines and circuitry.

One of the strongest reasons to install a CHP system though is their ability to keep you operational if the national grid is interrupted, or energy shortages create blackouts. Your on-site energy supply system bolsters you – and keeps your work environment protected – if ever cross-site energy load becomes an issue.

More advantages of CHP

Reducing your company’s reliance on fossil fuels is also a key advantage of harnessing the science behind combined heating and power systems. Capturing ‘waste energy’ also reduces carbon emissions and potential pollutants. Clearly, self-generating electricity can be a significant contribution to your sustainability stance.

However, for many companies, the current priority is to survive in the face of this long-term energy crisis. So, they need CHP installations supplier Engex Engineering to make it easier for them to manage their energy cost burden.

We install systems swiftly, with minimum disruption, avoiding the need for more complex and costly energy transmission and distribution infrastructure. Our British-based specialist engineers also advise you on the level of technical sophistication that matches your needs, and the most strategic place to locate your CHP system to facilitate sufficient room, and properly insulated pipework.

To be clear, installing a combined heat and power system does not avoid the impact of rising energy costs entirely. You also need to use the expertise of a specialist in this field, to optimise your CHP to generate the maximum available energy.

In other words, talk to Engex about operating a more efficient CHP system, to increase the considerable benefits of having one installed.