Case Studies

Adopting Green CHP systems for commercial and industrial businesses that are hot water-intensive offers a range of economic benefits, which are influenced by factors such as hot water volume, energy needs, system design, and specific use cases. The economic advantages can be significant, as evidenced by various case studies.

For example, in the case of two hotels, the installation of Green CHP systems yielded annual energy cost savings of up to $8,875 and $20,500 respectively. These savings are primarily due to the system's efficiency in reducing the reliance on conventional energy sources for hot water production, with an anticipated payback period of around 5 years for each project. This indicates a robust return on investment through direct energy cost reductions.

Further illustrating the economic potential of Green CHP systems, a recent design architecture completed for a commercial laundry facility projected an average annual energy savings of $140,000, with the total value of energy created estimated at over $3 million across 20 years. The system's design to meet specific hot water and energy requirements enabled utility savings to start at $135,00 in the first year and escalate to $230,000 by the 20th year, reflecting not only a reduction in operational expenditures but also an increasing trend in financial benefits.

Scope 1, Scope 2, and Scope 3 emissions are categories defined by the Greenhouse Gas (GHG) Protocol to help organizations measure and manage their carbon footprint. Each category pertains to different sources of emissions associated with an organization's operations:

Scope 1 Emissions: These are direct emissions from owned or controlled sources. They include emissions from combustion in owned or controlled boilers, furnaces, vehicles, etc., as well as emissions from chemical production in owned or controlled process equipment.

Scope 2 Emissions: These are indirect emissions from the generation of purchased electricity, steam, heating, and cooling consumed by the reporting company. Scope 2 emissions physically occur at the facility where electricity is generated.

Scope 3 Emissions: These are all indirect emissions (not included in Scope 2) that occur in the value chain of the reporting company, including both upstream and downstream emissions. This encompasses emissions related to production of purchased goods and services, waste disposal, transportation services, and employee travel and commuting that are not owned or controlled by the reporting organization.

A zero-emission CHP system uses renewable energy sources such as solar to generate both electricity and heat. Implementing such a system can help commercial and industrial businesses in addressing Scope 1 and Scope 2 emissions directly, and Scope 3 emissions indirectly:

Scope 1 Impact: By adopting zero-emission CHP systems, businesses can directly reduce Scope 1 emissions as these systems do not produce direct emissions from fossil fuels. This is particularly relevant for industries that rely heavily on on-site generation of heat and power.

Scope 2 Impact: Zero-emission CHP systems also reduce Scope 2 emissions by decreasing the need for electricity generated from external, possibly non-renewable, sources. Businesses can generate their own clean energy, thereby cutting down on their reliance on the grid and reducing the emissions associated with their electricity use.

Scope 3 Impact: Indirectly, implementing zero-emission CHP systems can influence Scope 3 emissions by promoting cleaner production processes. For example, if a business reduces its overall energy demand through efficient CHP, it may lead to less energy required in its supply chain, thus influencing the emissions from those external operations. Furthermore, if the adoption of such technologies becomes more widespread because of initial adopters, this can drive broader changes in the industry, potentially decreasing Scope 3 emissions related to energy production and consumption across the value chain.