Combined Heat and Power Basics Advanced Inverter Based CHP Systems ASHRAE CONNECTICUT CHAPTER JANUARY 11, 2018

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1 Combined Heat and Power Basics Advanced Inverter Based CHP Systems ASHRAE CONNECTICUT CHAPTER JANUARY 11, 2018

2 WHAT IS CHP? Simultaneous production of shaft power and heat A prime mover (in many cases an internal combustion engine) turns a shaft to produce shaft work, and heat is recovered from the prime mover and purposefully reused. Electrical CHP Shaft work turns a generator to create electricity, heat is recovered from prime mover Mechanical CHP Shaft work turns a device such as a refrigeration compressor to drive a vaporcompression cycle, heat is recovered from prime mover Traditional cogen Electrical CHP Note: Typically most people associate cogeneration with electrical CHP, all types of CHP products are also cogeneration products, don t get caught up in the semantics!!

3 CHP WHY NOW? 1,200 ton natural gas engine driven chiller Kohler s MFG HQ in Reynosa, Mexico Stunning turnaround in natural gas price & availability Likely to persist for many years Electric tariffs remain high and generally increasing High demand charges and TOU rates Long-term pressure for infrastructure upgrades Heavily incentivized Substantial Carbon Savings (GHG) Source efficiency goes from 35% up to over 80% with CHP

4 Cogeneration vs. Conventional Energy Source Assumptions: 8,000 run hours per year Therms based on HHV of natural gas at 1,020 Btu/scf Power Plant η =.33 Conventional Source Facility kw Boiler η = ,000 Btu/hr Natural Gas Well With CHP Installed Facility kw Natural Gas Well 101 CHP Module ,000 Btu/hr Over 30% Reduction in Annual Gas Consumption Conventional Source Yearly Gas Consumption: 162,000 Therms/yr Tecogen Yearly Gas Consumption: 101,000 Therms/yr

5 SAMPLE ECONOMIC BENEFIT 75 kw Induction Module 100 kw Inverter Based Unit Ilios HEWH- 500-WS Construction Cost Net Incentive $250,000 $420,000 $150,000 Run Hours (per unit) 8,000 Electrical Energy (kwh) $97,590 $130,120 $16,247 Thermal Heat Recovery (therm) $58,419 $75,025 $65,189 Total Value of Energy Produced $156,009 $205,145 $81,436 Maintenance Expenses ($12,800) ($17,600) ($9,600) Cost of Gas ($65,807) ($81,432) ($27,071) Total Expenses ($78,607) ($99,032) ($36,671) Total Savings $77,402 $106,113 $44,765 ROI (Years)

6 ECONOMIC ANALYSIS BACK UP Electric Use Summary Assume 10 Months of Demand reduction Average Unblended Rate = $ 0.14 / kwh Average Demand Charge $ = $ 22/kW Thermal Load Summary (Gas equivalent): Boiler Gas Rate = $1.12/therm Cogen Gas Rate = $0.87/therm

7 Inverter Based CHP Systems Available 33% Electrical Efficiency Wide operating range 10kW-125kW UL 2200 Certified & TYPE 10 EPSS Rated for Emergency Power!! Variable Speed Operation (VSO) for high part load efficiency Low gas pressure requirement, 4 WC Quiet Operation (65 20 ) Seamless energy storage integration via DC input feature Can charge and discharge batteries Allows for time-shifting and peak demand shaving strategies Can also integrate solar PV directly into CHP module for seamless integration between renewables and CHP Ultra-clean emissions on par w/ fuel cell CERTS Microgrid Technology

8 Combined Heat & Power (aka cogeneration) Definition: The simultaneous production of two useful outputs (electricity + heat) from a single fuel source Gas in 100.0% 1,316,775 Btu/hr 32.7% 27.0% Electricity out 125 kw 58.8% Thermal out 780,000 Btu/hr >91.6% total (LHV basis)

9 Performance % 180 Gen. Eff. Horsepower or kilowatts Eng. hp. Gen kw Eng. Eff. 80% 60% 40% 40 Excellent part-load efficiency 20% % Engine-Generator RPM

10 Inverter Based CHP Part Load Performance INV-100 Modulation Electrical Output (kw) Fuel Usage (BTU/hr) Heat Recovery (BTU/hr) Electrical Efficiency (%) Overall Efficiency (%) 125 1,316, , ,042, , , , , , , , , ,

11 Inverter Interface To Exhaust After Treatment & Heat Recovery Rectifier Inverter Variable Frequency AC DC High Quality 3-Phase, 50 or 60 Hz Power Natural Gas Engine Optional DC Input from Auxiliary Device (solar PV, Battery, Fuel Cell, etc.) Engine/Generator Output RPM Volts Freq (hz) KW Amorphous Metal Generator Permanent Magnet Generator Power Conversion Delivered kw Volts Freq (hz) KW

12 Inverter Based CHP Module - DC Input Unit will maintain up to 125 kw output, engine/generator will automatically supply the difference Allows solar PV to integrate to the unit using the existing inverter and power conditioning Can integrate with battery storage Permits the integration of InVerde into UPS systems Quick Power surges to maintain demand savings

13 Incorporation of CERTS* Microgrid *The Consortium for Electric Reliability Technology Solutions (CERTS) was formed in 1999 to research, develop, and disseminate electric reliability technology solutions in order to protect and enhance the reliability of the U.S. electric power system under the emerging competitive electricity market structure. The founding members include four DOE National Labs (Lawrence Berkeley National Laboratory (LBNL), Sandia National Laboratory (SNL), Oak Ridge National Laboratory (ORNL), and Pacific Northwest National Laboratory (PNNL); NSF s Power Systems Engineering Research Center; and the Electric Power Group. CERTS Test Facility at AEP s Dolan Lab

14 Technical Challenges of Utility Outage Operation Requires Two Distinct Operating Modes Grid-Tie Islanded Operation Grid-Tie Common/Straightforward Utility Provides Foundation Outage Operation More Difficult, Especially with Multiple Units (which is Typical) Requires Control Basis for Establishing Frequency Real and Reactive Power Must be Shared Not Inherently Stable Conventional Approaches Fairly Complex Impractical in Small Module Applications CERTS System Provides Solution

15 Microgrid Concept What is a Microgrid? Collection of Distributed Energy Resources CHP, PV, Wind, Batteries, Fuel Cells Integrated into Single System Can operate in Grid-Tie or As an Intentional Island Features and Benefits Supports Utility Grid Customer Outage Capability Upon Power Quality Event, Connect/ Reconnect Seamlessly (UPS) Utility Fast Switch Gen 1 Gen 2 Gen 1 Facility Loads 1 Facility Loads 2 Hypothetical Microgrid Other Facility Loads

16 Droop Control Impose Frequency vs. Power Relationship on Controller Frequency Islanded to 60 kw Load Grid-Tie Grid Tie Frequency is Fixed 60 Hz kw Output Per Function Islanded Operation Frequency = f(load) Example Load = 60 kw Frequency = Hz Power Output (kw) Droop shown is for illustration only

17 Droop Control in Grid-Tie Frequency Fixed at 60 Hz Depress Droop Output Changed by Changing Control algorithm Frequency Operating Range 100 kw 80 kw Droop is Depressed Operating Range as Shown 60 kw kw Power Output (kw)

18 Consequences of Imposed Droop Control on Island Operation Frequency General Case of 3 Units Operating in Grid-Tie at Different Outputs Gen 1 Gen 2 Gen Power Output (kw) Utility Smart Switch Gen 1 Gen 2 Gen 1 Facility Loads 1 Facility Loads 2 Hypothetical Microgrid Other Facility Loads

19 Consequences of Imposed Droop Control on Island Operation Frequency Gen 1 Intentional Island Imposed - Light Load Gen 2 Gen Power Output (kw) Equilibrium Frequency 60.1 Hz Utility Fast Switch Opens Gen 1 Gen 2 Gen 1 Facility Loads 1 Facility Loads 2 Hypothetical Microgrid Other Facility Loads 115 kw

20 ULTERA Emissions Criteria Pollutant Emissions by Source Ultra-Clean Emissions Technology consistently on par with fuel cells. No need to replace costly components to keep compliant emissions. No impact on performance and efficiency. Only alternate technology able to reuse existing stack. Inverter Based

21 Residence & Club, New York, NY Residential & recreational facility 10-story high rise kw indoor units 1 x 200 ton absorber Application: CHP & stand-by & cooling Start-up: Late 2010

22 High End Hotel 28 story high rise 3 x 100 kw units 2 x 50 Ton Water Fired Absorption Chillers Application: CHP & stand-by & cooling Start-up: Fall 2015

23 Americana Bayside Queens, NY High rise residential building 3 x 100 kw Appln: CHP & stand-by and cooling Start-up: Late 2010

24 Pier 7, Phoenix Beverage Brooklyn, NY Beer Distributor in NYC Application: CHP & Cooling Grid Independent Operation Start-up: x 100 kw Units Sample Applications & Installations

25 INVERTER BASED IS THE PERFECT FIT UL certified inverter based system fast tracked and accepted by Con Ed. CERTS Microgrid technology eliminates need for large expensive control systems. Real experience with off grid operation Emissions controls on par with Fuel Cell on a reliable basis. No complicated and unreliable emissions system like SCR found on large scale CHP units. No consumable fluids to maintain emissions. System are reliable, redundant, easily serviced with no end of life projection.

26 WHAT ARE THE BEST APPLICATIONS FOR THESE PRODUCTS? Buildings Hospitals Nursing Homes Colleges/Schools Hotels Industrial/Process Multi-Family Residential Department Stores Ice Rinks Gas usage at least 50,000 therms annually Ideally have centralized hot water system Electric usage at least 876,000 kwh annually

27 Company Information Tecogen Inc. 45 First Avenue Waltham, MA Contact Jeffrey Glick, VP Sales- Tecogen Inc

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