Is My Facility a Good Candidate for CHP?

We have outlined two steps and a test with 5 stages where you can evaluate whether or not CHP or Cogeneration makes economic sense for you. 

We have kept the test simple and not priced in the cost of power disruption, Being Greener and future energy prices.  Here are the steps:

Step 1

Please check if the questions that apply to you:


  • Do you pay more than £0.07 per kilowatt-hour on average for electricity (including generation, transmission, and distribution)?
  • Are you concerned about the impact of current or future energy costs on your business?
  • Is your facility located in a deregulated electricity market?
  • Are you concerned about power reliability? Is there a substantial financial impact to your business if the power goes out for 1 hour? For 5 minutes?
  • Does your facility operate for more than 5,000 hours/year?
  • Do you have thermal loads throughout the year (including steam, hot water, chilled water, hot air, etc.)?
  • Does your facility have an existing central plant?
  • Do you expect to replace, upgrade, or retrofit central plant equipment within the next 3-5 years?
  • Do you anticipate a facility expansion or new construction project within the next 3-5 years?
  • Have you already implemented energy efficiency measures and still have high energy costs?
  • Are you interested in reducing your facility's impact on the environment?

Step 2

If you have answered "yes" to 3 or more of these of these questions, your facility may be a good candidate for CHP.

he next step in assessing the potential of an investment in CHP is to have a Level 1 Feasibility Analysis performed to estimate the preliminary return on investment. We offer a comprehensive Level 1 analysis service for qualifying projects and can provide contact information to others who perform these types of analyses.

If you would like Alfagy to contact you with more information on our technical support services, you can contact us at (087) 0033 6600 in the UK and (718) 618 9710 in the US or send us a note via this form.


All the best


The Alfagy Service Team