PECO Combined Heat & Power Symposium

Transcription

1 PECO Combined Heat & Power Symposium Paul Miles, CHP Program September 20, 2018

2 Objective Provide CHP Program Update Incentive structure How to apply Incentive payout examples Informational Panels Mid Atlantic CHP Technical Assistance Partnership PGW Energy Solutions Center (mchp) Project Development Resources Wrap up 2

3 What is Combined Heat & Power (CHP) CHP is a clean and efficient approach to generate power and thermal energy from a single fuel source on the customer premises Typical CHP systems: Are located in close proximity to the energy consumer's building envelope, campus, or industrial processes Provide at least a portion of a facility's electrical load Capture thermal energy from hot exhaust gases for use in space heating, cooling, domestic hot water, dehumidification, and/or process heating Improve a facility s operational efficiency, reducing overall energy costs and emissions CHP Process Flow Diagram (Source: US Department of Energy) 3

4 Good CHP Candidates Typically higher usage energy customers that possess a thermal (steam requirement) in addition to their need for electricity Hospitals Retirement, Long Term Care Facilities Colleges Industrial Laundries Food Manufacturing C&I Processing Facilities (Refineries, Municipal Wastewater Treatment, etc.) Mixed Use Commercial Office Buildings (Commercial Residential) Really any facility with an adequate thermal requirement augmenting their need for electricity, or the desire to utilize waste heat for heating, or cooling (absorption) purposes 4

5 CHP Program Details Up to $2M, or 50% of total project cost (whichever is less) Payment ($/kw) Total Project kw capacity Currently accepting project applications All program related materials available here, and support: Option 1 pecochp@exeloncorp.com $ $150 >500 to 1,500 $75 >1,500 to 10,000 $0 >10,000 Projects capped at 10 MW for capacity but all MWh qualifies for incentives subject to $2M or of 50% of project cost provision 5

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7 Project Incentive Illustration 250 kw Verified Project Cost $ 3,650,000 kw System Capacity 250 Est. 8% Paracitics kw) 20 Eligible Incetnive kw 230 Max Avaialble Capacity Incentive $69,000 8,400 Hours Operation Annually Performance: 230 kw x 8,400 Hours/yr = 1,932,000 kwh x $0.02/kWh = $38,640 Based on $300/kW up to 500 kw and no more than 40% of overall project cost Performance Incetnive Based on Projected Annualized MWh Output x $20/MWh ($0.02/kWh) Total Eligible Incentive $107,640 Capacity + Performance, and Less than 50% of Project Cost 7

8 Project Incentive Illustration 1 MW Verified Project Cost $ 4,785,000 kw System Capacity 1,000 Est. 8% Paracitics kw) 80 Eligible Incetnive kw 920 Max Avaialble Capacity Incentive $213,000 8,400 Hours Operation Annually Performance: 920 kw x 8,400 Hours/yr = 7,728,000 kwh x $0.02/kWh = $154,560 Total Eligible Incentive $367,560 1st 500 $300/kW, next 420 $150/kW (combined and no more than 40% of overall project cost) Performance Incetnive Based on Projected Annualized MWh Output x $20/MWh ($0.02/kWh) Capacity + Performance, and Less than 50% of Project Cost 8

9 Project Incentive Illustration 12 MW Verified Project Cost $ 9,780,500 kw System Capacity 12,000 Est. 8% Paracitics kw) 960 Eligible Incetnive kw 10,000 Max Avaialble Capacity Incentive $937,500 1st 500 $300/kW, next 500 $150/kW, next 8,500 (final 2,000 does not qualify for capacity incentive - capped at 10 MW) 8,400 Hours Operation Annually Performance: 11,040 kw x 8,400 Hours/yr = 92,736,000 kwh x $0.02/kWh = $1,854,720 Performance Incetnive Based on Projected Annualized MWh Output x $20/MWh ($0.02/kWh) Total Caclulated Incentive $2,792,220 Capacity + Performance, and Less than 50% of Project Cost but more than $2,000,000 $2,000,000 Incetnive offered for this project 9

10 CHP Incentive Reservation Process Go to peco.com/chp Download / Complete Project Submission Form Upon Submission, Work With PECO to Finalize Incentive Reservation Complete Project PECO Verification Upon Certification Incentive Fulfilled Obtain Further pecochp@exeloncorp.com or ( ) Option 1 10

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12 Partnering Organizations and External Resources PGW (Philadelphia Gas Works) ESC (Energy Solutions Center) DOE CHP Technical Assistance Partnership/Mid Atlantic EPA Combined Heat & Power (CHP) Partnership 12

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