Benefit Analysis of Emergency Standby System Promoted to Cogeneration System

Shyi-Wen Wang
2016 Advances in Technology Innovation  
Benefit analysis of emergency standby system combined with absorption chiller promoted to cogeneration system is introduced. Economic evaluations of such upgraded projects play a major part in the decisions made by investors. Time-of-use rate structure, fuel cost and system constraints are taken into account in the evaluation. Therefore, the problem is formulated as a mixed-integer programming problem. Using two-stage methodology and modified mixed-integer programming technique, a novel
more » ... m is developed and introduced here to solve the nonlinear optimization problem. The net present value (NPV) method is used to evaluate the annual benefits and years of payback for the cogeneration system. The results indicate that upgrading standby generators to cogeneration systems is profitable and should be encouraged, especially for those utilities with insufficient spinning reserves, and moreover, for those having difficulty constructing new power plants.
doaj:08b6691008cf4bea8021a981167cb180 fatcat:yj3g2theqrfvhndrsur5pfvfs4