Industrial Combined Heat and Power
In 2011, U.S. vendor revenue from sales of industrial CHP systems totaled $246.6 million from 71 units shipped. In 2012, 83 units are expected to be shipped, generating $292.5 million in U.S. vendor revenues, a 19% increase compared to 2011.
In 2011, global vendor revenues from sales of industrial CHP systems amounted to $1.7 billion, with an estimated 501 units shipped. Installations are mostly confined to developed markets in Northern Europe, South Korea, Japan, and the United States. Industrial CHP has gained the greatest traction in the chemical refining and manufacturing sector, which is likely to see growth with an increase in refinery construction in the Asia Pacific region and an uptick in industrial natural gas utilization in North America. Global shipments are estimated to reach 545 units in 2012, representing $1.9 billion in vendor revenue, an 11% increase compared to 2011.
In 2011, U.S. vendor revenue from sales of industrial CHP systems totaled $246.6 million from 71 units shipped. In August 2012, the Obama Administration issued Executive Order 13624, calling for an ambitious goal of an additional 40 GW of industrial CHP installed in the United States by 2020. The Order is expected to spur investment in building out industrial CHP and calls on states to provide incentives to drive new growth. Specifically, the Order is designed to encourage increased packaging of CHP as an energy efficiency measure in state energy plans and to encourage utility financing innovations while also fostering more partnerships between utilities, energy efficiency service companies, and industrials. Still, growth is expected to be sporadic and confined to those pockets of the country where high electricity prices and incentives are sufficient to overcome high capital costs. In 2012, 83 units are expected to be shipped, generating $292.5 million in U.S. vendor revenues, a 19% increase compared to 2011.
gross domestic product
The Industrial Combined Heat and Power subsegment contributed $274 million in increased U.S. GDP in 2011.
advanced energy in action
Making efficient use of fuels to co-produce electricity and heat helps industry stay competitive and is good for the environment.
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