ASME PTC 4.4 & EPA CHP Partnership • Thermal & Power Engineering

Industrial Combined Heat & Power (CHP) Cogeneration Sizer

Size industrial prime movers (reciprocating engines & gas combustion turbines), Heat Recovery Steam Generators (HRSG), spark spread net cash flows, boiler fuel displacement, and Section 48 ITC investment tax credits.

⚙️ Prime Mover & Thermal Specs

📊 Utility Tariffs & Tax Incentives

Total System Efficiency
78.5%
ASME Fuel Energy Utilization
Recovered Steam / Heat
6,400 lbs/hr
HRSG 150 PSIG saturated steam
Net Spark Spread
+$8.64 / MWh
Net generation margin over fuel

Annual Operational Cash Flow & Displaced Energy CHP PRO-FORMA

Electricity Generation Value: +$1,783,500 / yr
Boiler Fuel Displacement (Therms): +$341,200 / yr
(-) Engine Natural Gas Fuel Expense: -$1,052,400 / yr
(-) Scheduled Maintenance & Overhauls: -$196,800 / yr
Net Annual Operating Savings: +$875,500 / yr

Capital Investment & Simple Payback

Gross CapEx
$3,300,000
ITC Tax Credit
-$990,000
Simple Payback
2.6 Years

Industrial CHP installations achieve overall system efficiencies exceeding 75%, qualifying for Section 48 ITC and 5-year MACRS accelerated depreciation. By recycling prime mover exhaust into 150 PSIG plant steam, facilities hedge against peak grid volatility while eliminating carbon emissions from aging auxiliary gas boilers.

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