Delmarva Power Launches Combined Heat and Power Program
Friday, June 29, 2012
Utility Will Seek Proposals for Innovative Energy Efficiency Program
SALISBURY, Md . – Delmarva Power has recently obtained approval from the Maryland Public Service Commission to implement a highly innovative, energy efficiency program, Combined Heat and Power (CHP). Combined heat and power is the generation of electric and thermal energy from a single fuel source such as natural gas. A natural gas-driven engine, when coupled with a generator, produces electricity. The engine also produces waste heat via exhaust gas, which can be captured to produce steam, hot water for heating or for use in commercial or industrial facilities. The program’s primary objective is to encourage the use of CHP to help meet aggressive EmPOWER Maryland goals by reducing the need for electricity supplied by the power grid.
Delmarva Power is developing a Request for Quotes (RFQ) and application process to recruit potential CHP projects that would be sited within the Delmarva Power Maryland service area. The time frame for public release of the RFQ is mid-July. CHP vendors and Delmarva Power Maryland customers are therefore encouraged to begin formulating plans now to take full advantage of the CHP program.
Approved CHP projects must be designed to use full CHP generation capacity on the customer’s site and meet all appropriate environmental regulations. Incentives include an upfront payment of $250 per kilowatt (kW) to offset installation and engineering costs with additional production incentives set at $.07 per kilowatt-hour (kWh) for an 18-month period following the startup of the CHP system.
For more information and if you would like to receive the RFQ, contact the Delmarva Power C&I Energy Savings Program at 1-866-353-5799 or at DelmarvaEnergyEfficiency@LMBPS.com.
Delmarva Power, a public utility owned by Pepco Holdings, Inc. (NYSE: POM), provides safe and reliable energy to more than 500,000 electric delivery customers in Delaware and Maryland and over 124,000 natural gas delivery customers in northern Delaware .