Capterra Glossary
Combined Heat and Power (CHP)
Combined heat and power (CHP), sometimes called "cogeneration," is the simultaneous production of two forms of energy from a single fuel source. This includes both electricity and heat or hot water. Combined heat and power systems are typically used in industrial settings to conserve energy by converting waste heat into usable thermal output for other purposes such as heating buildings or powering equipment.
What Small and Midsize Businesses Need to Know About Combined Heat and Power (CHP)
For businesses, CHP can be an essential tool for reducing energy costs. By using CHP technology, companies can reduce their reliance on traditional power sources like coal-fired plants, which have higher emissions rates than natural gas-powered facilities. Additionally, it helps companies save money by conserving resources that would otherwise go unused during low-demand periods.