CHP Statistics

CHP IN THE UK

UK CHP installations by capacity size (as at the end of 2005)

The latest statistics published by the DTI show little change in installed CHP capacity during 2005 with an increase of only 108 MWe between 2004 (5,684 MWe) and 2005 (5,792 MWe) across some 1,534 schemes, a net increase of 7 schemes. There were 29 new schemes that came into operation, whereas 22 schemes ceased operation. In terms of electricity generated; CHP contributed 30,340 GWh in 2005, representing 7.5% of the total electricity generated in the UK, and increase from 2004, where CHP generated 28,065 GWh or nearly 7% of total UK electricity generation.

An increasing number of CHP installations continue to be fuelled by natural gas. In 2005, this fuel accounted for 67% of fuel, up from 64% in 2004. New developments in CHP technology have opened up opportunities for using other fuels and in 2005, non-conventional fuels (liquid, solid or gas by-products, waste products or renewable fuels) contributed 27% of all fuels used in CHP. This represents an increase from 2004, where such fuels accounted for 25% of fuels used.

CHP can be found across a large size range, and the table below gives an indication of the spread of CHP installations across the four different size groups.

In terms of number of installations, the market is dominated by installations with an installed electrical capacity of less than 1 MWe, however schemes larger than 10 MWe represent more than 80 per cent of the total electrical capacity. CHP operates across all of the main economic sectors in the UK, with 407 installations in the industrial sector, representing 94 per cent of electricity capacity, the majority of which are found in four industrial sectors; chemicals, oil refineries, paper, publishing and printing and food. The remaining 6 per cent of capacity over some 1,127 schemes are spread across the agricultural, commercial, public administration, residential and transport sectors.

One size range in particular has found its way to the widest variety of users; the packaged CHP, generally below 1 MWe in size. These can be installed in almost every type of building application, and are used across the UK in hotels, hospitals, universities, offices and education amongst others. The number and capacity of CHP schemes installed in the various building sectors in 2005 is shown below:

Since 1996, installed CHP capacity has nearly doubled, however between 2000 and 2003, the industry was nearly at a standstill, as a result of the introduction of the Government’s New Electricity Trading Arrangements (NETA) in 2001, which penalises the output from smaller, more non-vertically integrated CHP schemes. Along with a fall in electricity prices and simultaneous rise in gas prices, this caused a significant dip in CHP output in 2001. It was reported by the Office of Gas and Electricity Markets (OFGEM) that output from CHP plant had dropped by at least 61% in the first 3 months of NETA.

Following a fall of approximately 71 MWe in CHP capacity in 2003, capacity jumped nearly 1000 MWe in 2004, reaching a total figure [adjusted] of 5,684 MWe. This was mostly due to the commissioning of the new ConocoPhillips CHP scheme which, at 740 MWe, is the largest CHP plant in Europe.

The Government has set two targets for installed CHP capacity; to reach 5,000 MWe by 2000, and 10,000 MWe by 2010. The first target was in fact only achieved in 2004, with the ConocoPhillips CHP scheme tipping capacity over the 5,000 MWe mark. The Government is, however, significantly off target in achieving its 2010 CHP target, with current Government projections anticipating that only 8,100 MWe will be achieved on current trends.

DUKES 2006 also includes statistics on carbon emission savings from CHP. In 2005 (following revisions), CHP saved 0.84 MtC per 1,000 MWe installed capacity against a fossil fuel basked, and 0.61 MtC per 1,000 MWe installed capacity against the total basket. These figures are an increase from 2004, where the equivalent (revised) figures were 0.79 MtC/MWe and 0.58 MtC/MWe respectively.

Much more data is available in the DTI’s 2006 Digest of UK Energy Statistics, which has a full chapter (Chapter 6) on CHP statistics in the UK. This is downloadable from the DTI website.

http://www.dti.gov.uk/energy/statistics/publications/dukes/page29812.html