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Cogeneration can power the EU's industrial renaissance

Cogeneration can power the EU's industrial renaissance

06/11/2014

Increasing the combined heat and power (CHP) base in European industries can improve these companies' competitiveness and enable industry to power Europe's economic recovery, according to a Position Paper issued by the European Association for the Promotion of Cogeneration (COGEN Europe).

Stressing that cogeneration can also improve the efficiency and reduce the overall cost of the electricity system, the Position Paper urges policymakers to design EU energy, climate and industrial policies that work in harmony to harness the potential of cogeneration to deliver the energy that industry needs.

According to the Position Paper, industry accounts for 43% of Europe’s heat demand. Moreover, industry uses large amounts of high-temperature heat in industrial processes, making it a suitable target for high-efficiency cogeneration. Of the 106 GWe of cumulative CHP electrical capacity currently in the EU, around half is embedded in industry, saving the EU 15 Mtoe of fuel imports per annum and delivering 38 Mt of CO2 emission savings every year.

For energy-intensive industries, energy costs account for a significant part of their total operating costs. Using cogeneration to provide both heat and electricity on site allows an industry to reduce the cost of its heat by up to 30%, giving it a productivity advantage and improving its ability to compete and reinvest in its core process. Instead of simply using energy to produce heat, an industry can use CHP on site to gain greater control over its energy costs, boost productivity, and demonstrably reduce its carbon footprint.

Stressing the importance of removing services market barriers to existing CHPs, COGEN Europe pointed out that, within a suitable energy services market, industries that adopt CHP have much to offer electricity networks trying to incorporate new higher levels of renewables, as they offer firm capacity and their supply of electricity is predictable and reliable.

For more information:

http://www.cogeneurope.eu/cogeneration-can-power-the-eus-industrial-renaissance_648.html

To read the Position Paper:

COGEN Europe Position Paper: Industrial Renaissance in Europe