The Role of Feasibility Analysis in Successful Cogeneration

Abstract

Although the energy crisis has given new impetus to cogeneration, many of the considerations that led to its decline during the 20th century still remain. The long hiatus of cogeneration, its reintroduction in new forms, and the emergence of new market considerations leave potential designers and owners unaware of the variety of problems that can cause failure of cogeneration systems or reduce their profitability. Studies of operating and failed cogeneration plants show that feasibility analyses of potential cogeneration installations have been inadequate, resulting in a high failure rate for systems installed in recent decades. Generalizations are drawn from these case studies about the factors that most commonly contribute to success and to failure of cogeneration. Fortunately, certain critical factors favor the application of cogeneration in the industrial sector. The cogeneration feasibility analysis methodology developed by the author is described.