THE FUNDAMENTAL TRUTH ABOUT CHP:

1. CHP burns fuel ONCE to produce electricity AND useful heat SIMULTANEOUSLY

2. The Government's allocation method (1/3 heat, 2/3 electricity) is an ACCOUNTING CONVENTION

  •    It exists for emissions reporting and tax calculations
  •    It does NOT represent actual fuel division (which is impossible)

3. The REAL benefit is THERMODYNAMIC:

  •    CHP typically achieves 80-90% overall efficiency
  •    Separate generation (grid + boiler) achieves ~55-60% combined efficiency
  •    This means ~30-40% LESS PRIMARY FUEL for the same useful energy

4. For UK CHP in 2024:

  •    Total fuel input: ~60,000 GWh
  •    Total useful output: ~49,000 GWh (electricity + heat)
  •    Overall efficiency: ~82%
  •    Primary energy saved: ~20,000 GWh compared to separate generation
  •    CO2 avoided: ~3-4 million tonnes annually

5. RECOMMENDATION: Present CHP benefits as:

  •    Overall system efficiency (heat + power / fuel input)
  •    Primary energy savings vs counterfactual
  •    Absolute fuel and CO2 reductions
  •    NOT as arbitrary fuel 'allocation' between outputs

This gives engineers, building owners, and policymakers the honest picture they need to make informed decisions about distributed energy systems.

Page 1 UK CHP Performance -

Analysing DUKES data and ignoring the allocations for tax and emissions accounting [give me strength!!]

ACTUAL SYSTEM EFFICIENCY
Overall CHP Efficiency (%) 81.44 Total useful energy out / fuel energy in
Electrical Efficiency (%) 36.45 Electricity out / fuel in
Heat Recovery Efficiency (%) 44.98 Heat out / fuel in
COUNTERFACTUAL: SEPARATE GENERATION
If the same electricity and heat were generated separately:
Reference Assumptions:
Grid Power Station Efficiency (%) 45 CCGT efficiency (typical UK grid)
Grid Transmission & Distribution Losses (%) 8 UK grid average losses
Conventional Boiler Efficiency (%) 85 Modern gas boiler efficiency
Fuel Required for Separate Generation:
Fuel for Grid Electricity (GWh) 52,657.00 Accounts for generation efficiency AND grid losses
Fuel for Boiler Heat (GWh) 31,647.06 Heat output / boiler efficiency
Total Fuel for Separate Generation (GWh) 84,304.06
PRIMARY ENERGY SAVINGS
Absolute Fuel Saving (GWh) 24,504.06 THIS IS THE REAL BENEFIT
Percentage Fuel Saving (%) 29.07
Fuel Saving per MWh CHP Output 0.50 MWh saved per MWh useful output
CO2 EMISSIONS IMPACT
Natural Gas CO2 Factor (kgCO2/kWh) 0.184 GCV basis - from UK GHG factors
CO2 from CHP Generation (ktCO2) 11.00
CO2 from Separate Generation (ktCO2) 15.51
CO2 Emissions Avoided (ktCO2) 4.509 REAL CO2 BENEFIT

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Page 2 usingin recast DUKES data to see the Thermodynamics

UK REGIONAL CHP - THERMODYNAMIC EFFICIENCY
Region Schemes Capacity (MWe) Fuel Input (GWh) Elec Output (GWh) Heat Output (GWh) Total Output (GWh) System Efficiency (%) Primary Energy Saving (GWh)
England 1673 5146 51000 18600 22900 41500 81.37 20,868.71
  East Midlands 112 168 1400 510 630 1140 81.43 573.06
  Eastern 184 406 3400 1240 1530 2770 81.47 1,395.17
  London 257 274 2300 840 1030 1870 81.30 940.75
  North East 97 282 2400 875 1080 1955 81.46 984.11
  North West 251 753 6300 2300 2830 5130 81.43 2,584.97
  South East 255 914 7700 2810 3460 6270 81.43 3,158.03
  South West 153 155 1300 475 585 1060 81.54 535.58
  West Midlands 178 187 1600 580 715 1295 80.94 642.14
  Yorkshire/Humberside 186 2005 16800 6130 7550 13680 81.43 6,889.12
Scotland 186 588 4900 1790 2200 3990 81.43 2,011.91
Wales 117 268 2200 800 990 1790 81.36 897.07
Northern Ireland 83 101 850 310 380 690 81.17 345.85
UK Total 2059 6104 59800 21800 26900 48700 81.44 24,504.06

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Page 3 Notes on representing the numbers

EMISSIONS ACCOUNTING vs THERMODYNAMIC ANALYSIS
Why the DUKES 1/3:2/3 Method Obscures Real Benefits
  DUKES Accounting Method Thermodynamic Reality
What it measures Allocated emissions per output type Actual energy flows and efficiency
Heat fuel allocation 1/3 of fuel 'goes to' heat No allocation - single combustion process
Electricity fuel allocation 2/3 of fuel 'goes to' electricity No allocation - single combustion process
Shows efficiency as Implied separate efficiencies Overall system efficiency (80-90%)
Primary benefit visible? Hidden in accounting conventions Clear: fuel saved vs separate generation
CO2 savings calculation Complex with allocation assumptions Simple: less fuel burned = less CO2
Useful for Tax relief calculations, emissions reporting Engineering decisions, true performance
Misleading because Suggests fuel is 'divided' between outputs Shows actual thermodynamic advantage