CHP Microturbine Configuration Model and Economic Analysis

ABSTRACT

Energy produced at the power plant has losses until it reaches the end-use site. Approximately two thirds of source energy is lost on the way. These are thermal losses at the power plant and losses in transmission and distribution systems. Energy prices are constantly rising. Energy security is another major issue for industry. All these aspects force industries to produce their own energy onsite.

The use of mainframe gas turbines for power generation has increased in recent years and is likely to continue to increase. The proportion of power generation using combined heat and power is also growing mainly because of efficiency improvements and environmental benefits. Mini- and microturbines offer a number of potential advantages compared to other technologies for small-scale power generation, particularly for distributed power generation, although there are some technical and non-technical barriers to the implementation of the technology. Small turbines could be used for power generation in the industrial, commercial and residential sectors.

The best common use of source energy is the production of combined heat and power (CHP). To optimize return on investment, systems are sized to have maximum utilization and minimum idle time. A detailed study considering the electrical and thermal energy needs of a hotel building located in Istanbul was carried out. Thermal and electrical peak loads of the building were measured and recorded. The peak electricity demand of the building was found to be 694 kW. Domestic hot water (DHW) and heating loads are 487 kW. Seven micro turbines of 65 kW (nominal electric power) are required to meet all the thermal energy needs of the building. The electricity generated by the microturbines is to be used to reduce electricity demand of the building. The analysis showed that 100% of thermal load and, 55% of electrical load is met with the selected capacity.

Investment and operational costs are taken into account in calculating the feasibility of the project. In this study the net present value method is used for detailed life cycle cost economic analysis.