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Cogeneration (CHP)

Your Own Personal Micro Grid

What is Cogeneration?

Cogeneration  or combined heat and power (CHP), is on-site production of both electricity and heat from a single gas powered engine. All cogeneration units run on natural gas, which is the cleanest fossil fuel. CHP Systems can also help reduce greenhouse gas emissions, which can come from producing power or hot-chilled water.  This reduction can be as much as 50%, with similar operational savings over traditional commercial utilities.

Micro combined heat and power, or micro-CHP, is an extension of the well established use of co-generation technology for single family homes, small office buildings, or other small commercial and industrial facilities. Energy applications typically require some combination of heat, air conditioning, ventilation, and mechanical or electrical power. Normally, energy is produced by a heat engine that can nearly achieve perfect efficiency and must always produce a surplus of low-temperature heat, usually referred to as waste heat. Since the waste heat cannot be efficiently transported over long distances, burning fuel at the site of energy production and usage enables cogeneration technology, or combined heat and power (CHP) devices, to produce electrical energy with heat as a captured by-product. CHP systems have been effective for more than three decades, producing economically efficient industrial energy on a large scale, typically measured in megawatts (MW) of electricity, with residual heat production used for some type of water or space heating. Micro-CHP systems, on the other hand, are used in homes or for small commercial or industrial applications. They reverse the traditional CHP order of priority by being controlled by heat-demand and delivering power as the by-product in the form of electricity, typically on the scale of less than 100kW. In addition to providing maximum efficiency in heat usage and power generation, micro-CHP systems achieve significant economic savings by enabling one to sell excess electrical power back to the electrical utility in a “net-metering” model.

How it Works?

PowerGen makes the most efficient use of fuel by producing cooling, heat and power at the point of use allowing the home or business owner to benefit from distributed power and maximum efficiency in energy generation. This process is typically two to three times more efficient as a centralized electrical utility grid. The result is lower energy bills.


  • Continuous power source – producing electricity to use or sell back to the grid
  • Provides uninterruptible power when the grid goes down


  • The natural gas engine drives a compressor which cools just like an electric air conditioner but more efficiently using variable refrigerant flow (VRF)


  • Offers the lowest operating cost of any heating / cooling systems
  • Fully programmable inverter allows for time-of-day and peak shaving, interfaces with solar or wind power, sells back to the grid and integration with multiple units


  • The engine creates heat, which is recovered for water and space heating
  • With the Air Source heat pump, additional heat is captured from outside air. Combined with the engine heat, the operating range of the heat pump can be extended to -20 degrees
Thermal Energy has over 25 years of unrivaled experience in maximizing heat and energy recovery in many different sectors.