Combined heat and power has a wide range of applications for commercial uses. Originally the technology was used in oil and manufacturing but now has a wide variety of applications from hotels and leisure facilities to manufacturing and medical facilities. Commercial CHP is highly effective in any environment with a sustained need for heat and electricity provision – providing cost savings of up to 40% of annual costs.
Working With Helec
At Helec we provide a complete commercial cogeneration service from feasibility studies and specification to design, installation, servicing and maintenance. Contact us today to discuss your CHP project.
Commercial CHP Costs, Payback and ROI
Cogeneration is relatively expensive technology and requires significant investment. As an example, a typical kw system might cost £ while a kw system might cost £. However, payback and ROI is high for commercial CHP providing you have high energy use.
A Rough Table Would Be Good Here
Typical commercial systems have a payback time of 2-6 years. This varies based on the demand for heating at your premises. If there are high and continuous demands for heat and power a typical business can save 20-40% of its yearly energy costs.
Tax Benefits of Commercial CHP
Commercial CHP has a number of tax incentives that can be used to minimise costs and increase ROI.
CHP systems (of all kinds?) are exempt from the Climate Change Levy which can save a lot of capital expenditure over the course of a cogeneration plants lifetime.
CHP systems can benefit from Carbon Price Support Tax Exemption
CHP systems are eligible for enhanced capital allowances which allows your company to write-off 100% of the capital you invest.
CHP systems qualify for Business Rating Exemptions when certified as “good quality CHP”.
Renewable Heat incentives do apply to CHP systems that use renewable fuels – i.e. biomass or biogas.
Types of Commercial CHP System
For large scale installations, there are several different technologies available:
Natural Gas and LPG
Natural gas and LPG are the most reliable and effective systems for use in commercial property and premises. They are the most cost-effective systems with the best thermal and energy efficiency.
Biogas is typically only suited to premises where there is a large supply of waste created by or available at the business premises. For example, agriculture, distilleries and landfill sites can all benefit from biogas CHP systems.
Biomass is a great concept but the reality is that the current technology is less than perfect. Biomass systems need to run on pellets and without a readily available supply of on-site material and a mill to create pellets the technology tends to underperform.
We have provided cogeneration plants in a wide variety of commercial sectors from manufacturing plants to leisure centres. Visit our case studies page here.
We provide a complete service and can work with you at any stage of your project to provide a cogeneration system that will increase your energy efficiency and reduce your operational costs.
At the initial stages we can visit your premises to provide a full feasibility study analysing your energy and heat usage and the viability of a CHP plant system.
After feasibility is established we will provide you with a full specification and design of your system.
Once the design is finalised we can provide full installation and plant room build. We maintain our own manufacturing facilities which means we can reduce the amount of work that is needed to be completed on site.
After your system is installed on-site we provide regular servicing and maintenance as well as ad hoc maintenance if required. This ensures your system remains at the best possible operational level.
To discuss your commercial CHP requirements please get in touch with our dedicated team.