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New Energy Department Funding to Establish Combined Heat and Power Technical Assistance Partnerships

February 11, 2013

In support of President Obama's Executive Order "Accelerating Investment in Industrial Energy Efficiency" the Energy Department announces a new funding opportunity to establish regional Combined Heat and Power Technical Assistance Partnerships (CHP TAPs). These CHP TAPs will accelerate deployment of 40 gigawatts of new, cost effective combined heat and power (CHP) by helping remove market and non-market barriers. CHP is a commercially available clean energy solutionPDF that directly addresses a number of national priorities including improving the competitiveness of U.S. manufacturing, increasing energy efficiency, reducing emissions, enhancing our energy infrastructure, improving energy security and growing our economy.

The Energy Department will make up to $1.5 million available in fiscal year 2013 for selection of up to 8 awards under this funding opportunity announcement, and subject to congressional appropriations, the Department plans to make an additional $9.5 million available in fiscal years 2014, 2015 & 2016 to fully fund these projects, which will take 4 years to complete.

Combined heat and power is an efficient and clean approach to generating electric power and useful thermal energy from a single fuel source. Instead of purchasing electricity from the distribution grid and burning fuel in an on-site furnace or boiler to produce thermal energy, an industrial or commercial facility can use CHP to provide both energy services in one energy-efficient step. While CHP has been in use in the United States in some form or another for more than 100 years, it remains an underutilized resource today. CHP currently represents approximately 8% of U.S. generating capacity compared to over 30% in countries such as Denmark, Finland and the Netherlands. Its use in the U.S. has been limited, particularly in recent years, by a host of market and non-market barriers. The regional CHP TAPs will play a critical role in overcoming these barriers by providing critical education and outreach and technical assistance on CHP to stakeholders. They will provide fact-based, unbiased information on CHP, including technologies, project development, project financing, local electric and natural gas utilities interfaces, and related state best practice policies. They will be vendor, fuel, and technology neutral.

View the complete funding CHP TAPs announcement.

This funding opportunity announcement is open to: (A) an energy-intensive industry; (B) a national trade association representing an energy-intensive industry; or (C) a person acting on behalf of 1 or more energy-intensive industries or sectors, as determined by the Secretary. For the purposes of this funding opportunity announcement, eligible entities also include universities and non-profits, acting on behalf of one or more energy intensive industries or sectors.

The Energy Department's Office of Energy Efficiency and Renewable Energy accelerates development and facilitates deployment of energy efficiency and renewable energy technologies and market-based solutions that strengthen U.S. energy security, environmental quality, and economic vitality. For more information on the Department's CHP efforts visit the Industrial Distributed Energy website.