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CHAPTER 18
Sustaining CHP Operations
Lucas B. Hyman
Milton Meckler
s described in the preceding chapters, there are a variety of factors and require-
ments that work together for sustainable on-site CHP operations. CHP plant
Amanagement and plant operators need to thoroughly understand: the CHP
plant, the CHP plant systems, and the CHP plant equipments; CHP plant operating
strategies; utility rate structures; energy markets and energy purchase strategies; utility
metering, bookkeeping, and billing; and, last, but certainly not least, proper plant oper-
ation and maintenance. CHP plant consultants need to understand the above as well.
As the old adage states, “one cannot manage what one does not measure,” there-
fore, sustainable CHP operations should have extensive metering and monitoring sys-
tem as part of the plant control system. With good metering and monitoring, the cost of
production for all CHP-produced utilities as well as various CHP metrics can be calcu-
lated and trended, as later discussed in this chapter, making optimizing operations and
performance diagnostics easier.
Sustainable on-site CHP systems value their plant operators, invest in their training,
and have mechanisms in place to facilitate feedback and good, open communication
to improve plant operations. CHP plant operating strategies and their requirements/
consequences/costs need to be fully analyzed and understood by all concerned. Also,
resources need to be retained and expended to maintain the long-term sustainability of
the CHP plant. Insurance requirements must also be carefully considered and met to
ensure sustainability. Finally, CHP plant management needs to share their success story
with others in order to promote the use of CHP, which maximizes total plant fuel effi-
ciency, minimizes primary fuel consumption, minimizes overall pollution, and when
properly planned, designed, and constructed can provide an attractive return on invest-
ment when compared to the conventional business-as-usual (BAU) case of buying util-
ity power and burning fuel in a boiler to produce heat.
Understanding the CHP Plant
It can be challenging to sustain CHP operations if those responsible for managing and
operating a CHP plant do not fully understand plant operations. Understanding the
CHP plant operations begins by understanding the function and construction of each
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