Combined Heat and Power making headlines in energy sector

Combined Heat and Power making headlines in energy sector

New studies and pending legislation put CHP at forefront of news cycle

Combined Heat and Power, or cogeneration, is not a new technology.

The history of cogeneration goes back to 1882 when Thomas Edison used the technology as the core of the world’s first commercial power plant.

However, in recent weeks the terms “Combined Heat and Power,” “cogeneration,” and “CHP” have all been “trending” in the news cycle thanks to the release of several recent studies that show the value and potential growth of the Combined Heat and Power market.

One study, released by Grand View Research out of California, cites several factors that point to the technology’s continued growth.

Those factors include;

  • A shift in preference towards generating energy from a single fuel source by replacing conventional separate heat and power systems (SHP)
  • The increasing energy demand in industrial and commercial sector and a goal of reducing the dependency of purchasing electricity from a local utility.
  • Stringent government regulations to curb CO2 gases released into the environment and governments in various regions providing financial incentives to promote CHP usage.
  • Abundant natural gas supply coupled with low pricing and the relative ease of installation of natural gas based systems.

Adding more fuel to the CHP fire is a new piece of legislation that would provide further incentives for conversion to Combined Heat and Power.

The Power Efficiency and Resiliency (POWER) Act, currently pending in the House (H.R. 2657) and Senate (S. 1516) would increase investment in industrial energy efficiency projects. The POWER Act would improve the tax credit for those that install combined heat and power systems and provide a tax credit for the commissioning of waste heat to power systems.

For Aegis Energy, EDF Group, this “trend” is welcome news.

Aegis has been servicing the Northeast and Mid-Atlantic since 1985, installing highly efficient modular systems to reduce both energy costs and emissions for a variety of facilities. The company’s signature CHP installation projects include the EPA award-winning installation at the National Archives and Records Administration, the AAA-4 Diamond Saybrook Point Inn and Spa in Old Saybrook, Connecticut, and multiple installations at the renowned Tudor City in New York.

For more information on Aegis Energy, EDF Group and to learn about Combined Heat and Power, visit




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