Opportunities and Resources for Biomass

Combined Heat and Power 

Market	and	policy	forces	are	increasingly	driving	strong	interest	in	

biomass	as	a	fuel	source	to	reduce	the	environmental	impact	of	

energy	production	and	expand	the	development	of	domestic	and	

renewable	energy	sources.	Biomass	is	used	most	efficiently	for	

power	and	heat	production	in	combined	heat	and	power	(CHP)	

projects.	The	U.S.	Environmental	Protection	Agency	(EPA)	CHP	

Partnership	offers	a	wide	variety	of	tools	and	resources	for	energy	

users	and	other	parties	interested	in	biomass	CHP.	

Biomass CHP. In	almost	all	cases,	the	production	of	electricity	from	biomass	

resources	is	most	economical	when	the	resulting	waste	heat	is	also	captured	

and	used	as	valuable	thermal	energy—known	as	CHP	or	cogeneration.	

CHP	is	the	simultaneous	production	of	electricity	and	heat	from	a	single	fuel	

source	that	can	include	fossil	fuels,	biomass,	or	biogas.	

•	 Biomass	fuels	(e.g.,	wood	waste,	agricultural	residues)	can	be	combusted	in	

a	boiler	or	gasified	to	fuel	a	CHP	system.	

•	 Biogases	(e.g.,	landfill	gas,	digester	gas)	can	be	captured	and	combusted	in	

a	CHP	system	much	like	natural	gas.	

CHP	offers	distributed	generation	of	electrical	and/or	mechanical	power;	

waste­heat	recovery	for	heating,	cooling,	or	process	applications;	and	seamless	

system	integration	for	a	variety	of	technologies,	thermal	applications,	and	fuel	

types	into	existing	building	infrastructure.	CHP	systems	typically	achieve	total	

system	efficiencies	of	60	to	80	percent	for	producing	electricity	and	

thermal	energy.	

Key considerations for	a	successful	biomass	CHP	project	include:	

Proximity to fuel source. Biomass	is	most	economical	as	a	fuel	source	when	

the	CHP	system	is	located	at	or	close	to	the	biomass	fuel	stock.	

Renewable portfolio standards (RPS). As	of	March	2009,	33	states	and	the	

District	of	Columbia	have	an	RPS,	each	of	which	includes	biomass	CHP	as	a	permissible	renewable	energy	resource.	

Grants, loans, or tax credits. Biomass	CHP	projects	often	qualify	for	additional	state	incentives	that	traditional	CHP	systems	are	ineligible	to	receive.	

Benefits 

Using	biomass	instead	of	fossil	fuels	

to	meet	energy	needs	with	CHP	provides	many	potential	environmental	

and	economic	benefits,	which	can	

include:	

•	 Reduced	greenhouse	gas	and	

other	emissions	

•	 Reduced	energy	costs	

•	 Improved	local	economic	

development	

•	 Reduced	waste	

•	 Expanded	domestic	fuel	supply	

•	 Reduced	transmission	and	

distribution	losses	
EPA CHP Partnership Biomass Tools 

and Resources 

The	EPA	CHP	Partnership	offers	a	variety	of	tools	and	

services	designed	to	facilitate	and	promote	the	development	of	biomass	CHP	projects.	In	addition	to	the	offerings	

listed,	check	out	the	complete	list	of	tools,	services,	and	

benefits	on	the	Partnership’s	Web	site:	www.epa.gov/chp.	

Biomass CHP Catalog of Technologies. This	report	

includes	information	on	cost	and	performance	parameters	

of	biomass­fueled	CHP	systems,	the	commercial	readiness	

of	a	range	of	biomass	fuel	preparation	techniques	and	

heat	and	power	production	methods,	and	characteristics	

of	various	advanced	technologies	(e.g.,	status	of	research	

and	development,	projected	performance).	It	is	available	

at:	www.epa.gov/chp/basic/catalog.html.	

Funding Opportunities. Many	financial	incentives,	such	

as	grants,	tax	incentives,	and	low­interest	loans,	are	available	for	using	biomass	feedstocks	in	power	generation	

applications.	These	incentives	can	substantially	help	the	

economics	of	using	biomass	as	a	fuel	source.	In	addition,	

state	and	federal	policies—such	as	simplified	interconnection,	fair	rate	design,	and	output­based	emissions	permitting—benefit	projects	by	reducing	barriers	and	can	save	

time	and	money	in	the	development	process.	Find	regularly	updated	information	about	these	policies	and	incentives	

along	with	information	on	how	to	qualify	and	apply:	

www.epa.gov/chp/funding/bio.html.	

The CHP Emissions Calculator compares	the	anticipated	carbon	dioxide	(CO2),	sulfur	dioxide	(SO2),	and	

nitrogen	oxide	(NOX)	emissions	from	a	CHP	system	

to	the	emissions	from	a	comparable	system	that	uses	

separate	heat	and	power.	Users	select	from	default	or	

user­specified	system	profiles	(including	renewably	fueled	

systems)	to	describe	the	CHP	and	separate	heat	and	

power	systems	for	comparison:	

www.epa.gov/chp/basic/calculator.html.	

CHP Project Development Process. The	Streamlining	

Project	Development	pages	of	the	Partnership	Web	site	

provide	resources	for	companies	considering	or	implementing	CHP	projects.	These	include	information,	tools,	

and	hints	on	project	development,	CHP	technologies,	and	

how	to	access	EPA	assistance	during	each	stage	of	

the	CHP	development	process:	

www.epa.gov/chp/project­development/index.html.	

Wastewater Facilities Strategic Market. Wastewater	

treatment	facilities	(WWTFs)	that	use	anaerobic	digesters	

to	treat	their	waste	are	an	excellent	technical	fit	for	CHP.	

The	report,	Opportunities	and	Benefits	of	Combined	Heat	

and	Power	at	Wastewater	Treatment	Facilities,	provides	

engineering	rules­of­thumb	for	estimating	the	generation	

potential	at	a	WWTF,	and	links	to	case	studies	demonstrating	the	benefits	of	CHP	at	WWTFs:	

www.epa.gov/chp/markets/wastewater.html.	

Dry Mill Ethanol Strategic Market. The	CHP	

Partnership	offers	a	wide	range	of	analysis	and	outreach	

documents	related	to	the	dry	mill	ethanol	production	

industry.	The	fact	sheet,	Combined	Heat	and	Power:	An	

Energy­Efficient	Choice	for	the	Ethanol	Industry,	explains	

the	efficiency	gains	of	CHP	over	separate	heat	and	power,	

discusses	the	excellent	technical	fit	for	CHP	at	ethanol	

production	facilities,	and	provides	information	on	some	

ethanol	facilities	currently	employing	CHP.	The	report,	

Assessment	of	the	Potential	for	Energy	Savings	in	Dry	Mill	

Ethanol	Plants	From	the	Use	of	Combined	Heat	and	

Power,	details	the	energy	savings	from	using	CHP	to	generate	electricity	and	steam	for	ethanol	production	compared	to	using	natural	gas­,	coal­,	and	biomass­fired	boilers	to	generate	steam	and	purchase	grid	electricity.	These	

reports	and	more	can	be	found	at:	

www.epa.gov/chp/markets/ethanol.html.	

Technical Assistance for Candidate Sites. In	addition	

to	Web­based	resources,	the	Partnership	provides	information,	tools,	and	technical	assistance	to	energy	users	

who	are	considering	implementing	CHP	projects.	With	a	

short	phone	call,	the	Partnership	can	help:	

•		Identify	opportunities	for	cost­effective	CHP	(including	

biomass	or	biogas	CHP).	

•		Assess	goals,	drivers,	and	potential	barriers	for	

a	project.	

•		Direct	energy	users	to	existing	tools	and	resources.	

•		Determine	next	steps	for	project­specific	technical	

assistance.	

See:	www.epa.gov/chp/partnership/tech_assistance.html.	

For more information about opportunities for biomass CHP or how 

the EPA CHP Partnership can help with your project, contact: 

Neeharika Naik-Dhungel 

 Tel.:	(202)	343­9553

 Fax:	(202)	343­2362

E­mail:	naik-dhungel.neeharika@epa.gov 

 Web	site:	www.epa.gov/chp