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The benefits of CHP are severalfold, broken down like this:
• Efficiency – Captured waste heat can be reused for various applications, including heating and cooling and other on-site energy requirements.
• Flexibility – Systems can be adapted to provide various energy delivery services.
• Reliability – On-site control improves energy delivery, self-sufficiency, and security.
• Environmental benefits – Produces lower emissions than conventional separate systems.
My report uses the local Dell Children's Hospital as a case study, which has been instructive because CHP, although cool and all, does have its drawbacks. In addition to high startup costs, CHP installation requires a crapload of advance planning, tight design integration, on-site expertise, and ongoing optimization. On top off that, the CHP system doesn't provide the cost-savings as advertised -- it costs about the same as a conventional power generator would.
Having said that, the net benefits for CHP are positive, provided a building meets a certain profile -- long hours of operation, desire for 24/7 energy reliability/security, coinciding power and thermal loads -- which makes hospitals a good match.
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