Skip to main content.

Speed to Power

What is combined heat and power (CHP)?

Combined heat and power (CHP), sometimes referred to as cogeneration, is an efficient and clean approach to generating onsite electric power and useful thermal energy (e.g., steam, hot water) from a single fuel source.  CHP can use several different technologies and a variety of fuels.  When evaluated against comparable separate heat and power options, CHP reduces emissions of greenhouse gases and other air pollutants by avoiding the need for grid-based electricity generation, transmission, and distribution, as well as use of an onsite boiler to meet thermal needs.  (CHP Resource Center | US EPA)

CHP / Cogen = “speed to power”

  • Nicor Gas Infrastructure  - 34,000 miles of existing pipelines, gas storage
  • Avoid supply chain long lead times for critical equipment
  • Electricity Generation Onsite -  resiliency, affordability
  • Nicor Gas partners with Energy Resource Center for CHP / Cogen expertise, Feasibility Studies
  • Federal incentives for CHP construction start in 2024  (add’l info: CHPA-IRA-FAQ-Final-Factsheet.pdf (chpalliance.org) )

Benefits of CHP:

  • CHP defers the need for investments in new central generating plants and new transmission and distribution infrastructure
  • CHP reduces greenhouse gas emissions and other air pollutants by 40 percent or more.
  • CHP consumes essentially zero water resources in generating electricity.
  • Onsite electric generation reduces grid congestion and improves the reliability of the electricity distribution system.
  • CHP uses highly skilled local labor and American technology.