Combined Heat & Power (CHP), also known as cogeneration, is the simultaneous production of electricity and heat from a single fuel source. Some benefits of CHP include:
- CHP is more efficient than separate generation of electricity and thermal energy
- Higher efficiency translates to lower operating costs and reduced emissions
- CHP can increase power reliability and enhance power quality
- On-site electric generation can help reduce grid congestion
Gain a Competitive Edge
Controlling energy costs is becoming increasingly important. Not only does it positively affect your bottom line, it’s also an important component of any company’s green initiative. Thanks to new technologies, there are ample opportunities to decrease energy use, increase efficiency and save money.
How it Works
CHP rebates can help reduce the payback period for investments in CHP technologies. Qualified projects sized at 500 kW or less will receive a rebate based on kWh generated during the first year the project is commissioned, and rated design capacity. Generation will be paid in two installments at 6 and 12 months; capacity will be paid at project completion.
|$0.08 per kWh Generated|
|$100 per kW Capacity|
- Final incentive amounts will be calculated based on the final cost of project net outside funding received, but such cost must be reasonable in the judgment of DP&L and will be limited to 50% of the total project cost, which may not include taxes, warranty fees, or maintenance fees.
- An individual account number will be limited to $500,000 in CHP incentives for any one project and in any calendar year. For CHP systems over 500 kW, please contact email@example.com.
- Reimbursement for all CHP projects:
|Lower Heat Value||Reimbursement Percent|
|80% or higher||100% of the calculated payment|
|70-80%||90% of the calculated payment|
80% of the calculated payment
All DP&L business and government customers have the opportunity to receive CHP rebates. CHP projects that are not pre-approved will be ineligible to receive a rebate.
Eligible equipment must:
- Be installed in the DP&L service territory
- Meet or exceed a minimum system efficiency of 60% LHV
How to Start
Pre-approval is required for all CHP rebates.
1 - Feasibility Study Application*
- Submit the CHP Feasibility Application and the Facility Data Form for the facility that will be studied. DP&L will let you know if the program is approved to proceed. DP&L will provide up to $10,000 to subsidize the cost of a CHP feasibility study.
- Submit the request for proposal (RFP) that will be issued for the study for DP&L approval.
- Issue the RFP and select the CHP study vendor.
- Submit the Firm Selection Form and the winning proposal for DP&L approval.
- Upon approval of the selected firm and study proposal, proceed with the study.
2 - Submit the CHP Rebate Application with Feasibility Study Results (if available)
3 - Proceed with Project Implementation
4 - Submit Actual Energy Savings Figures
*A feasibility study is not required, but will help ensure your project meets DP&L's criteria for energy savings. Note: All Feasibility study PDF forms are combined in the Feasibility Study Packet. Max study cost will be net of any outside funding received and in no case will the DP&L reimbursement exceed your final out-of-pocket costs.