Development of a cost-benefit model for micro CHP systems

Abstract

In the last decade, new improvements on energy systems production are been conducted. The liberalization of the energy market, the search for alternative technologies using renewable energy sources, the sustainability of energy supply and the environmental issues are factors that emphasis the introduction of decentralized power generation systems. The purpose of this work is to identify the variables that must be considered in developing an economic model to assess the viability of a new micro-cogeneration system for micro-scale applications. In the development of cost- benefit analysis, two types of variables should be considered: the internal variables that quantify and parameterize the operation and performance of the system; and external variables that evaluate the social and environmental impacts arising from the use of cogeneration technology. The design of decentralized energy systems is usually carried out integrating technical and economic aspects. As a consequence, the assessment of CHP systems sustainability requires the analysis of operational cost-benefit analysis as well as the environmental and social impacts, which represent important external costs.