CHP Analysis Tool

This CHP Analysis Tool has been developed as part of ASHRAE RP-1592, "CHP Design Guide–Update to the
Cogeneration Design Guide (1996)" to provide an initial understanding of the combined heat and power (CHP)
potential for a given site. The results of the analysis contained in this report are intended to be used for guidance
purposes only. ASHRAE does not warrant or provide any guarantee whatsoever on the accuracy of the results or
on the estimated costs and savings derived and reported herein. The results of this CHP Anslysis Tool should not be
used for financial decision making purposes.

The project team team was composed of:

Exergy Partners Corp., internationally recognized for its expertise in CHP technology development, advanced system application testing, CHP operating analysis, and
public policy and roadmap development.

Integrated CHP Systems Corp., known for its expertise in CHP engineering assessment of industrial and commercial facilities, demonstration of CHP-related new
technologies, and the design and development of thermal energy technologies for CHP systems.

Penn State University, a world-renowned engineering school that currently operates the U.S. Department of Energy’s Mid-Atlantic CHP Technical Assistance Partnerships
program, providing technical, application and policy support to the eight Mid-Atlantic States.

The ASHRAE CHP Design Guide Project Monitoring Subcommittee was composed of: Lucas Hyman, Dragos Paraschiv, Geoffrey Bares, and Timothy Wagner

ASHRAE has compiled this publication with care, but ASHRAE has not investigated, and ASHRAE expressly disclaims any duty to investigate, any product, service, process, procedure,
design, or the like that may be described herein. The appearance of any technical data or editorial material in this publication does not constitute endorsement, warranty, or
guaranty by ASHRAE of any product, service, process, procedure, design, or the like. ASHRAE does not warrant that the information in the publication is free of errors, and ASHRAE
does not necessarily agree with any statement or opinion in this publication. The entire risk of the use of any information in this publication is assumed by the user.
ASHRAE CHP Analysis Tool Site Data Input 06/13/2023

CHP Analysis Tool Site Data Input

Volume-Weighted Average Energy Costs
Operating Hours Host Site Name: Typical Ind Jun-Sep Oct-May Annual Av
Operating Hours per Day 24 Location: Anytown per kWh $0.1204 $0.0950 $0.1046
Days per Week 5.5 State: PA Apr-Sep Oct-Mar Annual Av
% Operating Hours 78% Electric Utility: E Utility per DTherm $6.00 $7.00 $6.73
Climate Region: Portland, ME
Addressable Thermal Loads 1 Fuel Type: Nat Gas Fuel Unit: DTherm Fuel Use Offsets
Process Heat Type Hot Water Preparer Name: D Thomas Annual Fuel Usage 60,680 MMBtu
Average Process Heat Load MBH 2,000 Preparer Company: Eng Inc Process 28%
Process Heat Load Deviation % 50% Space Heating 43%
Space Heating Type Hot Water Existing Equipment CHW Reheats 4%
Max Space Heating Load MBH 10,000 Process Heater Efficiency 80% Domestic HW 7%
Chilled-Water Reheat Lbs/hr Steam Space Heat/Reheat Boiler Efficiency 80% Nonaddressable 18%
OA Fraction % 30% Domestic HW Boiler Efficiency 85%
Average Domestic Hot Water MBH 500 Refrigeration Efficiency kW/ton 0.60 Chiller Only
Process Cooling Type Cooling Cooling Efficiency kW/ton 0.55 Chiller Only Process
Average Process Cooling Load tons 200 Space Heating
Process Cooling Load Deviation % 20% Annual CHW Reheats

Max Space Cooling Load 750 Energy Electricity $2,400,407 Domestic HW

tons
Fuel $408,155 Nonaddressable
Cost
Note 1: Input '0' load value for nonaddressable loads Total $2,808,562

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ASHRAE CHP Analysis Tool Site Data Input 06/13/2023

Monthly Billing Data Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Billing Days per Month 31 29 32 29 30 32 30 29 32 30 29 32
Electric Use kWh 1,721,663 1,739,431 1,771,986 1,850,866 1,856,944 1,907,268 2,375,837 2,219,532 2,188,911 1,826,927 1,701,784 1,779,700
Peak Demand kW 3,259 3,279 3,149 4,600 4,810 4,477 4,472 4,844 4,998 4,012 3,088 3,206
Total Bill (Commodity, T&D) $ $163,558 $165,246 $168,339 $175,832 $176,410 $229,692 $286,122 $267,298 $263,611 $173,558 $161,669 $169,071

Fuel Use DTherm 8,895 9,337 6,933 4,884 2,983 734 2,373 2,790 2,843 4,213 6,606 8,089
Fuel Cost $ $62,267 $65,359 $48,531 $29,302 $17,900 $4,404 $14,240 $16,741 $17,060 $29,491 $46,239 $56,620

Addressable and Nonaddressable Fuel Use (MMBtu per Month)

Space Heating & Reheats Domestic HW Process Heat Thermal Fuel Use Non-Addressable Fuel Use

Loads that can be 12,000

addressed by the
CHP system are
identified together 10,000
with their related
fuel use and
compared to the
total fuel use to 8,000
ensure that these
loads do not exceed
fuel use.
6,000
"Nonaddressable
Fuel Use" should
generally be at or
4,000
above zero, although
intermittent dips
below zero can occur
for a variety of 2,000
reasons including
atypical weather
patterns, alignment
of billing cycle, and 0
billing errors, among Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
other things.
-2,000

-4,000

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ASHRAE CHP Analysis Tool CHP System Input 06/13/2023

CHP Analysis Tool CHP System Input

Nominal CHP System Performance Load Factor Operating Hour Loads CHP System
System Type ICE > 700 kW Suggested Exhaust Use: Steam Average Demand Base Load CHP Output Load Factor
Electric Power Output kW 1,000 Efficiencies Chiller Use: Cooling Power kW 3,086 1,907 980 100%
Electric Efficiency LHV 38% 38% Chiller Type: 1 Effect Hot Water MBH 4,668 1,000 1,887 92%
Exhaust HR Efficiency LHV 16% 16% Chiller Output Temp: > 40 F Steam MBH 757 100 1,437 35%
Jacket HR Efficiency LHV 21% 21% Chiller Capacity (tons): 72 Hot Air MBH 0 0 0 0%
Fuel Input (LHV) MBtu 8,984 Chiller Maint per Year: $5,400 Cooling ton 302 160 72 100%
Exhaust HR MBtu 1,437 CHP Maint per kWh: $0.0175 Refrig ton 0 0 0 0%
Jacket Water HR MBtu 1,887 Parasitics: 2%
CHP System Efficiency LHV 75% Heat Rate (Btu/kWh): 8,984 CHP HHV Fuel Use Efficiency: 67.5%

CHP System Budget Cost CHP Operating Costs Annual Power Output 6,745,200 kWh
Calculated CHP Installation Cost $ $2,607,298 Existing Fuel: Nat Gas Annual Fuel Input (HHV) 68,021 MMBtu
Adjustment Factor % 0% CHP Fuel: Nat Gas Annual Useful Heat 15,386 MMBtu
Chiller Type 1 Effect Projected CHP Fuel Cost $6.23 /MMBtu Annual Useful Cooling 437,153 ton-h
Adjusted CHP Installed Cost $ $2,607,298 Use Projected Cost No Cost of Fuel $442,238
Non-CHP System Costs $ $0 Incremental Oper Cost $0 per Month Maintenance $125,850
Fed 10% ITC $ $260,730 Standby Charge $0.00 per kW-Mth Operation $0
Grant/Rebate $ $0 Other Incremental Cost $0 per Month Standby Cost $0
Capital Cost Credit $ $0 Other Savings $0 per Month Other Costs $0
Net Installed Cost Budget $ $2,346,568 Total Costs (1) $568,088
Net Installed Cost Budget $/kW $2,347 Grant Calculator Total Value Power Offset $723,318
Note: Fed 10% ITC is calculated on adjusted cost less rebate. $/kW $550 $550,000 Thermal Fuel Offset $123,535
% of CHP System Cost 30% $782,189 Other Savings $0
Notes: Total Offsets (2) $846,852
Federal ITC is applied Cost of Capital Capital Budget $2,346,568
No other grants or rebates are applied Interest Rate 0% Net Annual Savings $278,764 (2) - (1)
Loan Term 1 Years Simple Payback 8.4 Years
10-Year Net $848,722 @ 3% Escl

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ASHRAE CHP Analysis Tool CHP System Input 06/13/2023

Average Demand CHP Output

Addressable Loads (MMBtu per Month) 5,000
4,500
Space Heating & Reheats Domestic HW Process Heat Space Cooling Process Cooling 4,000
3,500
4,500 3,000
2,500
2,000
4,000
1,500
1,000
3,500 500
0
kW MBH MBH MBH ton
3,000 Power Hot Water Steam Hot Air Cooling

2,500

Load Factor
2,000 120%
100%
1,500
80%

1,000
60%
40%
500 20%
0%
0 kW MBH MBH MBH ton
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Power Hot Water Steam Hot Air Cooling

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ASHRAE CHP Analysis Tool Analysis Report 06/13/2023

Preliminary CHP Evaluation Report

Host Site:

Typical Ind
Anytown, PA

Preparer:

D Thomas
Eng Inc

This CHP Analysis Tool has been developed as part of ASHRAE RP-1592, "CHP Design Guide–Update to the Cogeneration Design Guide
(1996)" to provide an initial understanding of the combined heat and power (CHP) potential for a given site. The results of the analysis
contained in this report are intended to be used for guidance purposes only. Neither ASHRAE nor the Preparer warrant or provide any
guarantee whatsoever on the accuracy of the results or on the estimated costs and savings derived and reported herein. The results of this
CHP Anslysis Tool should not be used for financial decision making purposes.

The data contained in this report are confidential and intended for use only by the Preparer and the abovenamed Host Site company.
Distribution of this report to anyone other than the abovenamed entities is not allowed without advanced written permission from both
parties. The results provided in this report are based on data provided by the client and on assumptions outlined in the report.

All Host Site confidential data revealed to the Preparer during the course of this work effort and not already in the posession of the
Preparer or in the public domain, shall be held confidential by the Preparer. The Host Site company shall not distribute the results of this
report without prior written permission from the Preparer.

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ASHRAE CHP Analysis Tool Analysis Report 06/13/2023

Executive Summary 2,500,000

Power Profile
6,000

Project Typical Ind

Location Anytown 5,000
2,000,000

Monthly Demand (kW)

Power Utility E Utility
4,000

Monthly Usage (kWh)

Peak Power Demand 4,998 kW 1,500,000
Average Mthly Peak Demand 4,016 kW 3,000
Average Mthly Power Usage 1,911,737 kWh
1,000,000
Average Load Factor 67%
2,000

Annual Power Costs $2,400,407 500,000

Existing Utility Usage Utility Usage w/CHP 1,000
Annual Fuel Costs $408,155
Total Heat & Power Costs $2,808,562 Existing Utility Demand Utility Demand w/ CHP
0 0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Power Gen Size 1,000 kW
% Max Annual Peak Demand 20%
Average Mthly Power Output 562,100 kWh
$900,000
% Average Mthly Power Usage 30%
Annual Savings versus Costs
Average Mthly Thermal Output 1,907 MMBtu Other Cost Sav-
$800,000
Thermal Electric Ratio 3.32 MBH/kW ings

$700,000
Power Usage
Average Power Cost $0.1046 /kWh Offset
Average Fuel Cost $6.73 DTherm $600,000
Thermal Fuel
$500,000 Offset
Annual CHP O&M Cost $568,088
Annual Utility Cost Offset $846,852 Operating &
$400,000
Net Annual Savings $278,764 Addnl Cost
$300,000
Budget Capital Cost $2,607,298 Stand-by
Demand
Rebate/Cap Offset $260,730 $200,000 Cost
Net Cost $2,346,568 Maintanance
Payback Years 8.4 $100,000 Cost

$0 Fuel Cost
Notes: Federal ITC is applied
Savings
Savings Costs
Costs
No other grants or rebates are applied
0

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ASHRAE CHP Analysis Tool Analysis Report 06/13/2023

CHP Costs, Savings and Simple ROI

Utility Cost Basis Jun-Sep Oct-May Annual Av Capital Cost

Electricity Cost per kWh $0.1204 $0.0950 $0.1046 Estimated Gross System Cost $2,607,298
Apr-Sep Oct-Mar Annual Av Estimated Non-CHP Costs $0
Fuel Cost per DTherm $6.00 $7.00 $6.73 Estimated Total Incentives/Credits $260,730
Annual Av Estimated Net System Cost $2,346,568
CHP Fuel Cost per MMBtu $6.50

ROI Annual
Total
Operating Costs & Savings Annual Monthly Monthly Annual Power Output 6,745,200 kWh
Total Average Max Annual Fuel Input (HHV) 68,021 MMBtu
CHP System Costs Annual Useful Heat 15,386 MMBtu
CHP Gas Cost $ $442,238 $36,853 $41,744 Annual Useful Cooling 437,153 ton-h
Gen Set Maint $ $120,450 $10,038 $10,560 Cost of Fuel $442,238
Addnl Labor Cost $ $0 $0 $0 Maintenance $125,850
Other Costs $ $0 $0 $0 Operation $0
Chiller Maint $ $5,400 $450 $450 Standby Cost $0
Standby Demand Cost $ $0 $0 $0 Other Costs $0
Total O & M Costs $568,088 $47,341 $52,754 Total Costs (1) $568,088
Power Offset $723,318
CHP System Cost Savings Thermal Fuel Offset $123,535
Power Usage Offset $ $723,318 $60,276 $74,077 Other Savings $0
Thermal Fuel Offset $ $123,535 $10,295 $11,470 Total Offsets (2) $846,852
Other Savings $ $0 $0 $0 Net Annual Savings $278,764 (2) - (1)
Total Cost Savings $846,852 $70,571 $83,642 Capital Budget $2,346,568
Simple Payback 8.4 Years
Net Cost Savings $278,764 $23,230 $36,848 10-Year Net 1 $848,722

1] Includes 3% escalation on all costs and offsets

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ASHRAE CHP Analysis Tool Analysis Report 06/13/2023

Cash Flow Cash Flow Operating Savings Operating Costs Cost of Capital

$6,000

$5,000

$4,000

$3,000
Dollars (x 1000)

$2,000

$1,000

$0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20

-$1,000

-$2,000

-$3,000

Year

Cash flow calculation incorporates a 3% escalation factor on all utilities, maintenance, labor, and cost savings.

Utility Cost Sensitivity Hi Electric Lo Electric Base Case Low Fuel Hi Fuel
Net Capital $ $2,346,568 $2,346,568 $2,346,568 $2,346,568 $2,346,568
Grid Electric Cost $/MMBtu $0.1138 $0.0931 $0.1035 $0.1035 $0.1035
Boiler Fuel Cost $/MMBtu $6.50 $6.50 $6.50 $5.85 $7.15
CHP Gas Costs $/MMBtu $6.50 $6.50 $6.50 $5.85 $7.15
Annual Costs $/yr $568,088 $568,088 $568,088 $523,864 $612,312
Annual Savings $/yr $919,184 $774,521 $846,852 $834,499 $859,206
Net Savings $/yr $351,096 $206,433 $278,764 $310,635 $246,894
Simple Payback Years 6.7 11.4 8.4 7.6 9.5

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ASHRAE CHP Analysis Tool Analysis Report 06/13/2023

Annual Energy Cost

Electricity;
$2,400,407 Energy Costs

$ per kWh
$0.14
$0.12
$0.10
$0.08
$0.06
$0.04
Fuel; $0.02
$408,155 $0.00
Jun-Sep Oct-May Annual Av

Fuel Use Offsets $ per DTherm

$8
$7
$6
$5
Process 43% $4
28% $3
$2
Space Heating $1
$0
Apr-Sep Oct-Mar Annual Av
CHW Reheats

Domestic HW
18% 7% 4%
Nonaddressable

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ASHRAE CHP Analysis Tool Analysis Report 06/13/2023

Assumptions
Addressable Thermal Loads Existing Equipment Efficiency
Process Heat Type Hot Water Process Heater 80%
Average Process Heat Load MBH 2,000 Operating Hours Space Heat/Reheat Boiler 80%
Process Heat Load Deviation % 50% Operating Hours per Day 24 Domestic HW Boiler 85%
Space Heating Type Hot Water Days per Week 5.5 Refrigeration Chillers (kW/Ton) 0.60
Max Space Heating Load MBH 10,000 % Operating Hours 78% Cooling Chillers (kW/Ton) 0.55
Chilled Water Reheat Lbs/hr Steam
Outside Air Fraction % 30%
Average Domestic Hot Water MBH 500 Nominal CHP System Performance
Process Cooling Type Cooling System Type ICE > 700 kW Exhaust Use Steam
Average Process Cooling Load tons 200 Electric Power Output kW 1,000 Chiller Use Cooling
Process Cooling Load Deviation % 20% Electric Efficiency LHV 38% Chiller Type 1 Effect
Max Space Cooling Load tons 750 Exhaust HR Efficiency LHV 16% Chiller Output Temp > 40 F
Jacket HR Efficiency LHV 21% Chiller Capacity, tons 72
Fuel Input (LHV) MBtu 8,984 Chiller Maint per Year $5,400
Exhaust HR MBtu 1,437 CHP Maint per kWh $0.0175
Jacket Water HR MBtu 1,887 Parasitics 2%
Volume-Weighted Average Energy Costs CHP System Efficiency LHV 75% Heat Rate, Btu/kWh 8,984
Jun-Sep Oct-May Annual Av
per kWh $0.1204 $0.0950 $0.1046
Apr-Sep Oct-Mar Annual Av
per DTherm $6.00 $7.00 $6.73 CHP System Budget Cost
Calculated CHP Installation Cost $ $2,607,298
Projected CHP Fuel Cost: $6.50 /MMBtu Adjustment Factor % 0%
Chiller Type 0 1 Effect
Adjusted CHP Installed Cost $ $2,607,298
Addressable Loads Average Base Non-CHP System Costs $ $0
Demand Load Fed 10% ITC $ $260,730
Power kW 3,086 1,907 Grant/Rebate $ $0
Hot Water MBH 4,668 1,000 Capital Cost Credit $ $0
Steam MBH 757 100 Net Installed Cost Budget $ $2,346,568
Hot Air MBH 0 0 Net Installed Cost Budget $/kW $2,347
Cooling ton 302 160
Refrig ton 0 0

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