Advancements in compact, power-generating equipment have prompted many companies to consider the installation of gas-fueled generators to supplement electricity from their utility during peak demand periods, or as a backup source during power outages. Cogeneration equipment has made it practical, in some cases, to operate the equipment full time as a stand-alone source of power. Cogeneration is a system that burns energy once but actually uses it twice. Rather than burning fuel to produce only heat, natural gas can be burned in a reciprocating engine or a turbine that is coupled with a generator to produce electricity and then utilize the waste heat. Cogeneration uses the heat recovered from this exhaust for:
- Low-cost steam and hot water
- Space heating
- Cooling
This dual application of energy improves efficiency, often resulting in significant economic savings.
Benefits
- Reduced energy costs
- Long term operational savings
- Generates surplus electric power which may be resold
- Minimizes the need for storage of alternative fuels
- Lowers the risk of operational shutdowns due to electrical disruptions
- Meets environmental standards
Benefits
On-site power generating equipment is most practical when operated for more than one shift. Therefore, this technology is most suitable for businesses that operate from 16 to 24 hours per day. Additionally, businesses that can utilize waste heat can substantially improve the payback period. These businesses include convenience stores, health clubs, hotels, schools, grocery stores and manufacturing facilities.
The Economics
Power-generating hardware does represent a capital investment, but the return on capital can be substantial. MichCon provides an affordable, reliable energy source — natural gas — while eliminating concerns about power grid reliability during peak usage periods. MichCon can facilitate your energy investment by directing you to potential funding sources such as equipment manufacturers, leasing companies or financial institutions. By generating your own electricity on-site, you can power more than your business, you can also power your profits.
Case Study
Read a case study* about how an automotive component supplier saves energy and enhances reliability with a Cogeneration System.
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