CHP Opportunities in the Food and

Beverage Processing Industry

John Brogan
Account Manager
Encorp
January 27, 2005
Outline

• Background on Encorp

• CHP Economics

• Non Traditional CHP Concepts

 Encorp Metrics

• Total MW controlled by Encorp product 700+

• Number of GPCs shipped 1,550+
• Total number of customers 500+
• Percentage of projects synchronously
interconnected to the power grid 90%+
• Breakdown of projects by application
– Cogeneration
– Renewables / Non-pipeline fuels
– Standby power
– Peak shaving
– Merchant/IPP
– Demand response programs
• Interruptible rates
• Time of use rates
• Peak sharing
CHP Economics
The Site Survey

• Survey Current Energy Usage

(For “Load Analysis”)
– How is Thermal Energy Being Used?
– Pick Up Previous 12 Months Energy Bills

• Survey The Site For Cogeneration Location

(For “System Design”)
– Use The Following Form as a Reminder of What to Look
For When Designing a CHP System
Overview of Technical and Economic Feasibility
Assessment
Utility Data

Cost
Identify Yes
Savings
Sizing Determine Cogen Assessment
Cogeneration or
Options Cogen System of Financing
System Data Revenue
System Costs Generation and
Conceptual Ownership
Company Design •Capital Options
Data •O&M
Identify
Minimum Operating
Thermal Load Mode No
Criteria
Options Alternative
System Cost
Stop
Further Yes •Electric
Investigation •Thermal
Warranted?

No
Stop

Obtaining Data Technical Feasibility Assessment Economic Feasibility Assessment

Why CHP?

• More Efficient Than

Conventional Energy
Production

• Benefit From On-Site Power

Generation and Increased
Heat Production

• SAVES MONEY!!!

• MAKES MONEY!!!
Key Factors in making the Economics Work!

• Coincidental Need for Both Electric Power and Thermal

Energy
– The more thermal energy that can be used the better the
economics

• “Spark Spread”
– The cost difference between the price of electricity and the
cost of natural gas

• Installed Cost Differential

– If a CHP season is evaluated at the same time either as either
a generator is being added or a chiller / boiler is being
replaced the first cost differential is reduced
CHP Can Address Facility Requirements

• Provide Stand-By Power Generation

• Insures Against Rising Electric Rates
• Affords Some Independence from the Electric
Utility
• Provide Additional Heat Capacity To:
– Domestic Hot Water
– Steam or Hot Water Heating
– Process Loads
– Heat Source for Absorption Cooling
– Heat Source for Dehumidification
Conventional Energy Purchases
(Utility Purchases)

• Fuel Bill
– Gas or Oil to Run Boilers, Other HVAC, and/or Process
Equipment
– Customer Charge
– Cost per BTU

• Electric Bill
– Customer Charge
– Cost per kWh of Electrical Energy Used
– Cost per kW of Peak Power Used (Demand Charge)
– Cost per kW of Ratchet Demand (Regional)
– Each Charge May Vary With Level of Consumption
Non-Traditional Cogen Concepts
Desiccants?

• Humidity in the cold

storage area and freezer
costs money
– Damages Product
– Requires more defrost
time
– Makes workplace unsafe

Photo Courtesy of Concepts and Design, Inc.

Desiccants?

Photo Courtesy of Concepts and Design, Inc.

Desiccants

• Engine Generator Provides the Heat to

Regenerate the Desiccant Wheel
Hot water or
Steam coil heats
regeneration air
to 190°F

Regeneration air
can be outside air
or exhaust air
Engine Driven Refrigeration
Industrial Refrigeration: Fire = Ice

• Colder Temperatures
• Customers:
– Food & Beverage
Manufacturers
– Food & Beverage Retail
– Food Warehouses
– Ice Manufacturers
• Ice cubes
• Ice rinks
Basic Refrigeration Cycle

• Same Cycle As HVAC

• Colder Evaporator Temps (SST)
– -70° F to 45° F (-56.6° C to 7.22° C) possible
– -20° F to 20° F (-28.9° C to -6.7° C) typical
• Refrigerants:
– Ammonia
– R-22
 Electric Refrigeration Compressor Package

• Evaporator &
WATER IN WATER OUT
Electric Condenser are “Off
CONDENSER
Package”
Compressor
Package
– unlike HVAC chiller
• Refrigeration Package
H.P. RECEIVER OIL SEPARATOR
is:
Electric
Motor Compressor – screw compressor
EXPANSION
VALVE – oil separator/cooler
– electric motor
OIL COOLER
– controls
EVAPORATOR
BRINE OUT BRINE IN WATER IN WATER OUT
 Engine Driven Compressor Package

• Similarities
WATER IN WATER OUT
CONDENSER
Electric
Compressor
– Identical Functionality
Package – Same Footprint
– Same Option List

H.P. RECEIVER OIL SEPARATOR

• Differences:
Engine Compressor
– heat recovery
– gas pipe
EXPANSION
VALVE

– exhaust pipe
OIL COOLER
– control panel
EVAPORATOR
BRINE OUT BRINE IN WATER IN WATER OUT
Typical Product

Photo Courtesy of Tecogen

Thank You