Carnot's theorem, developed in 1824 by Nicolas Léonard Sadi Carnot, also called Carnot's rule, is a principle that specifies limits on the maximum efficiency any heat engine can obtain. The efficiency of a Carnot engine depends solely on the temperatures of the hot and cold reservoirs.
Carnot's theorem states that all heat engines between two heat reservoirs are less efficient than a Carnot heat engine
operating between the same reservoirs. Every Carnot heat engine between
a pair of heat reservoirs is equally efficient, regardless of the
working substance employed or the operation details.
The maximum efficiency is the ratio of the temperature difference
between the reservoirs and the temperature of the hot reservoir,
expressed in the equation ,
where TC and TH are the absolute temperatures of the cold and hot reservoirs, respectively, and the efficiency is the ratio of the work done by the engine to the heat drawn out of the hot reservoir.
Carnot's theorem is a consequence of the second law of thermodynamics. Historically, it was based on contemporary caloric theory, and preceded the establishment of the second law.
Proof
An
impossible situation: A heat engine cannot drive a less efficient
(reversible) heat engine without violating the second law of
thermodynamics.
The proof of the Carnot theorem is a proof by contradiction, or reductio ad absurdum,
as illustrated by the figure showing two heat engines operating between
two reservoirs of different temperature. The heat engine with more
efficiency () is driving a heat engine with less efficiency (), causing the latter to act as a heat pump.
This pair of engines receives no outside energy, and operates solely on
the energy released when heat is transferred from the hot and into the
cold reservoir. However, if , then the net heat flow would be backwards, i.e., into the hot reservoir:
We begin by verifying the values of work and heat flow depicted
in the figure. First, we must point out an important caveat: the engine
with less efficiency () is being driven as a heat pump, and therefore must be a reversible engine. If the less efficient engine ()
is not reversible, then the device could be built, but the expressions
for work and heat flow shown in the figure would not be valid.
By restricting our discussion to cases where engine () has less efficiency than engine (), we are able to simplify notation by adopting the convention that all symbols, and represent non-negative quantities (since the direction of energy flow never changes sign in all cases where ). Conservation of energy demands that for each engine, the energy which enters, , must equal the energy which exits, :
The figure is also consistent with the definition of efficiency as for both engines:
It may seem odd that a hypothetical heat pump with low efficiency is
being used to violate the second law of thermodynamics, but the figure of merit for refrigerator units is not efficiency, , but the coefficient of performance (COP),
which is . A reversible heat engine with low thermodynamic efficiency, delivers more heat to the hot reservoir for a given amount of work when it is being driven as a heat pump.
Having established that the heat flow values shown in the figure
are correct, Carnot's theorem may be proven for irreversible and the
reversible heat engines.
Reversible engines
To see that every reversible engine operating between reservoirs and must have the same efficiency, assume that two reversible heat engines have different values of ,
and let the more efficient engine (M) drive the less efficient engine
(L) as a heat pump. As the figure shows, this will cause heat to flow
from the cold to the hot reservoir without any external work or energy,
which violates the second law of thermodynamics. Therefore both
(reversible) heat engines have the same efficiency, and we conclude
that:
All reversible engines that operate between the same two heat reservoirs have the same efficiency.
This is an important result because it helps establish the Clausius theorem, which implies that the change in entropy is unique for all reversible processes.,
over all paths (from a to b in V-T space). If this integral were not path independent, then entropy, S, would lose its status as a state variable.
Irreversible engines
If
one of the engines is irreversible, it must be the (M) engine, placed
so that it reverse drives the less efficient but reversible (L) engine.
But if this irreversible engine is more efficient than the reversible
engine, (i.e., if ),
then the second law of thermodynamics is violated. And, since the
Carnot cycle represents a reversible engine, we have the first part of
Carnot's theorem:
No irreversible engine is more efficient than the Carnot engine operating between the same two reservoirs.
Definition of thermodynamic temperature
The efficiency of the engine is the work divided by the heat introduced to the system or
(1)
where wcy is the work done per cycle. Thus, the efficiency depends only on qC/qH.
Because all reversible engines operating between the same heat
reservoirs are equally efficient, all reversible heat engines operating
between temperatures T1 and T2 must have the same efficiency, meaning the efficiency is a function only of the two temperatures:
(2)
In addition, a reversible heat engine operating between temperatures T1 and T3 must have the same efficiency as one consisting of two cycles, one between T1 and another (intermediate) temperature T2, and the second between T2 and T3. This can only be the case if
Specializing to the case that is a fixed reference temperature: the temperature of the triple point of water. Then for any T2 and T3,
Therefore, if thermodynamic temperature is defined by
then the function viewed as a function of thermodynamic temperature, is
and the reference temperature T1 has the value
273.16. (Of course any reference temperature and any positive numerical
value could be used—the choice here corresponds to the Kelvin scale.)
It follows immediately that
(3)
Substituting Equation 3 back into Equation 1 gives a relationship for the efficiency in terms of temperature:
(4)
Applicability to fuel cells and batteries
Since fuel cells and batteries can generate useful power when all components of the system are at the same temperature (), they are clearly not limited by Carnot's theorem, which states that no power can be generated when .
This is because Carnot's theorem applies to engines converting thermal
energy to work, whereas fuel cells and batteries instead convert
chemical energy to work. Nevertheless, the second law of thermodynamics still provides restrictions on fuel cell and battery energy conversion.
Diagram comparing losses from conventional generation vs. cogeneration
Cogeneration or combined heat and power (CHP) is the use of a heat engine or power station to generate electricity and useful heat at the same time. Trigeneration or combined cooling, heat and power (CCHP)
refers to the simultaneous generation of electricity and useful heating
and cooling from the combustion of a fuel or a solar heat collector.
The terms cogeneration and trigeneration can be also applied to the power systems generating simultaneously electricity, heat, and industrial chemicals – e.g., syngas or pure hydrogen (article: combined cycles, chapter: natural gas integrated power & syngas (hydrogen) generation cycle).
Cogeneration is a more efficient use of fuel because
otherwise-wasted heat from electricity generation is put to some
productive use. Combined heat and power (CHP) plants recover otherwise
wasted thermal energy for heating. This is also called combined heat and power district heating. Small CHP plants are an example of decentralized energy. By-product heat at moderate temperatures (100–180 °C, 212–356 °F) can also be used in absorption refrigerators for cooling.
The supply of high-temperature heat first drives a gas or steam turbine-powered
generator. The resulting low-temperature waste heat is then used for
water or space heating. At smaller scales (typically below 1 MW) a gas engine or diesel engine may be used. Trigeneration differs from cogeneration in that the waste heat
is used for both heating and cooling, typically in an absorption
refrigerator. Combined cooling, heat and power systems can attain higher
overall efficiencies than cogeneration or traditional power plants. In
the United States, the application of trigeneration in buildings is
called building cooling, heating and power. Heating and cooling output
may operate concurrently or alternately depending on need and system
construction.
Cogeneration was practiced in some of the earliest installations
of electrical generation. Before central stations distributed power,
industries generating their own power used exhaust steam for process
heating. Large office and apartment buildings, hotels and stores
commonly generated their own power and used waste steam for building
heat. Due to the high cost of early purchased power, these CHP
operations continued for many years after utility electricity became
available.
Overview
Masnedø CHP power station in Denmark. This station burns straw as fuel. The adjacent greenhouses are heated by district heating from the plant.
Many process industries, such as chemical plants, oil refineries and
pulp and paper mills, require large amounts of process heat for such
operations as chemical reactors, distillation columns, steam driers and
other uses. This heat, which is usually used in the form of steam, can
be generated at the typically low pressures used in heating, or can be
generated at much higher pressure and passed through a turbine first to
generate electricity. In the turbine the steam pressure and temperature
is lowered as the internal energy of the steam is converted to work. The
lower pressure steam leaving the turbine can then be used for process
heat.
Steam turbines at thermal power stations
are normally designed to be fed high pressure steam, which exits the
turbine at a condenser operating a few degrees above ambient temperature
and at a few millimeters of mercury absolute pressure. (This is called a
condensing turbine.) For all practical purposes this steam has
negligible useful energy before it is condensed. Steam turbines for
cogeneration are designed either for extraction of some steam at
lower pressures after it has passed through a number of turbine stages,
with the un-extracted steam going on through the turbine to a condenser.
In this case, the extracted steam causes a mechanical power loss in the downstream stages of the turbine. Or they are designed, with or without extraction, for final exhaust at back pressure (non-condensing).
The extracted or exhaust steam is used for process heating. Steam at
ordinary process heating conditions still has a considerable amount of enthalpy that could be used for power generation, so cogeneration has an opportunity cost.
A typical power generation turbine in a paper mill
may have extraction pressures of 160 psig (1.103 MPa) and 60 psig (0.41
MPa). A typical back pressure may be 60 psig (0.41 MPa). In practice
these pressures are custom designed for each facility. Conversely,
simply generating process steam for industrial purposes instead of high
enough pressure to generate power at the top end also has an opportunity
cost.
The capital and operating cost of high pressure boilers, turbines and
generators are substantial. This equipment is normally operated continuously, which usually limits self-generated power to large-scale operations.
A cogeneration plant in Metz, France. The 45MW boiler uses waste wood biomass as energy source, and provides electricity and heat for 30,000 dwellings.
A combined cycle (in which several thermodynamic cycles produce electricity), may also be used to extract heat using a heating system as condenser of the power plant's bottoming cycle. For example, the RU-25 MHD generator in Moscow
heated a boiler for a conventional steam powerplant, whose condensate
was then used for space heat. A more modern system might use a gas turbine powered by natural gas,
whose exhaust powers a steam plant, whose condensate provides heat.
Cogeneration plants based on a combined cycle power unit can have
thermal efficiencies above 80%.
The viability of CHP (sometimes termed utilisation factor),
especially in smaller CHP installations, depends on a good baseload of
operation, both in terms of an on-site (or near site) electrical demand
and heat demand. In practice, an exact match between the heat and
electricity needs rarely exists. A CHP plant can either meet the need
for heat (heat driven operation) or be run as a power plant
with some use of its waste heat, the latter being less advantageous in
terms of its utilisation factor and thus its overall efficiency. The
viability can be greatly increased where opportunities for trigeneration
exist. In such cases, the heat from the CHP plant is also used as a
primary energy source to deliver cooling by means of an absorption chiller.
CHP is most efficient when heat can be used on-site or very close
to it. Overall efficiency is reduced when the heat must be transported
over longer distances. This requires heavily insulated pipes, which are
expensive and inefficient; whereas electricity can be transmitted along a
comparatively simple wire, and over much longer distances for the same
energy loss.
A car engine becomes a CHP plant in winter when the reject heat
is useful for warming the interior of the vehicle. The example
illustrates the point that deployment of CHP depends on heat uses in the
vicinity of the heat engine.
Thermally enhanced oil recovery
(TEOR) plants often produce a substantial amount of excess electricity.
After generating electricity, these plants pump leftover steam into
heavy oil wells so that the oil will flow more easily, increasing
production. TEOR cogeneration plants in Kern County, California produce so much electricity that it cannot all be used locally and is transmitted to Los Angeles.
CHP is one of the most cost-efficient methods of reducing carbon emissions from heating systems in cold climates and is recognized to be the most energy efficient method of
transforming energy from fossil fuels or biomass into electric power.
Cogeneration plants are commonly found in district heating systems of cities, central heating
systems of larger buildings (e.g. hospitals, hotels, prisons) and are
commonly used in the industry in thermal production processes for
process water, cooling, steam production or CO2 fertilization.
Types of plants
Topping
cycle plants primarily produce electricity from a steam turbine. Partly
expanded steam is then condensed in a heating condensor at a
temperature level that is suitable e.g. district heating or water desalination.
Bottoming cycle plants produce high temperature heat for industrial processes, then a waste heat recovery
boiler feeds an electrical plant. Bottoming cycle plants are only used
in industrial processes that require very high temperatures such as
furnaces for glass and metal manufacturing, so they are less common.
Large cogeneration systems provide heating water and power for an industrial site or an entire town. Common CHP plant types are:
Gas turbine CHP plants using the waste heat in the flue gas of gas turbines. The fuel used is typically natural gas.
Gas engine
CHP plants use a reciprocating gas engine which is generally more
competitive than a gas turbine up to about 5 MW. The gaseous fuel used
is normally natural gas.
These plants are generally manufactured as fully packaged units that
can be installed within a plantroom or external plant compound with
simple connections to the site's gas supply, electrical distribution
network and heating systems.
Biofuel engine CHP plants use an adapted reciprocating gas engine or diesel engine,
depending upon which biofuel is being used, and are otherwise very
similar in design to a Gas engine CHP plant. The advantage of using a
biofuel is one of reduced hydrocarbon fuel
consumption and thus reduced carbon emissions. These plants are
generally manufactured as fully packaged units that can be installed
within a plantroom or external plant compound with simple connections to
the site's electrical distribution and heating systems. Another variant
is the wood gasifier CHP plant whereby a wood pellet or wood chip biofuel is gasified
in a zero oxygen high temperature environment; the resulting gas is
then used to power the gas engine. Typical smaller size biogas plant see
Steam turbine CHP plants that use the heating system as the steam condenser for the steam turbine.
Nuclear powerplants,
similar to other steam turbine power plants, can be fitted with
extractions in the turbines to bleed partially expanded steam to a
heating system. With a heating system temperature of 95 °C it is
possible to extract about 10 MW heat for every MW electricity lost. With
a temperature of 130 °C the gain is slightly smaller, about 7 MW for
every MWe lost. A review of cogeneration options is in
Smaller cogeneration units may use a reciprocating engine or Stirling engine.
The heat is removed from the exhaust and radiator. The systems are
popular in small sizes because small gas and diesel engines are less
expensive than small gas- or oil-fired steam-electric plants.
Some cogeneration plants combine gas and solar photovoltaic generation to further improve technical and environmental performance. Such hybrid systems can be scaled down to the building level and even individual homes.
MicroCHP
Micro combined heat and power or 'Micro cogeneration" is a so-called distributed energy resource (DER). The installation is usually less than 5 kWe
in a house or small business. Instead of burning fuel to merely heat
space or water, some of the energy is converted to electricity in
addition to heat. This electricity can be used within the home or
business or, if permitted by the grid management, sold back into the
electric power grid.
Delta-ee consultants stated in 2013 that with 64% of global sales
the fuel cell micro-combined heat and power passed the conventional
systems in sales in 2012. 20.000 units were sold in Japan in 2012 overall within the Ene Farm project. With a Lifetime of around 60,000 hours. For PEM fuel cell units, which shut down at night, this equates to an estimated lifetime of between ten and fifteen years. For a price of $22,600 before installation. For 2013 a state subsidy for 50,000 units is in place.
MicroCHP installations use five different technologies: microturbines, internal combustion engines, stirling engines, closed cycle steam engines and fuel cells.
One author indicated in 2008 that MicroCHP based on Stirling engines is
the most cost-effective of the so-called microgeneration technologies
in abating carbon emissions;
A 2013 UK report from Ecuity Consulting stated that MCHP is the most
cost-effective method of utilising gas to generate energy at the
domestic level. However, advances in reciprocation engine technology are adding efficiency to CHP plant, particularly in the biogas field. As both MiniCHP and CHP have been shown to reduce emissions they could play a large role in the field of CO2 reduction from buildings, where more than 14% of emissions can be saved using CHP in buildings.
The University of Cambridge reported a cost-effective steam engine
MicroCHP prototype in 2017 which has the potential to be commercially
competitive in the following decades. Quite recently, in some private homes, fuel cell micro-CHP plants can now be found, which can operate on hydrogen, or other fuels as natural gas or LPG. When running on natural gas, it relies on steam reforming of natural gas to convert the natural gas to hydrogen prior to use in the fuel cell. This hence still emits CO 2
(see reaction) but (temporarily) running on this can be a good solution
until the point where the hydrogen is starting to be become distributed
through the (natural gas) piping system.
Trigeneration
Trigeneration cycle
A plant producing electricity, heat and cold is called a trigeneration or polygeneration plant. Cogeneration systems linked to absorption chillers or adsorption chillers use waste heat for refrigeration.
Combined heat and power district heating
In the United States, Consolidated Edison
distributes 66 billion kilograms of 350 °F (180 °C) steam each year
through its seven cogeneration plants to 100,000 buildings in Manhattan—the biggest steam district in the United States. The peak delivery is 10 million pounds per hour (or approximately 2.5 GW).
Industrial CHP
Cogeneration is still common in pulp and paper mills,
refineries and chemical plants. In this "industrial cogeneration/CHP",
the heat is typically recovered at higher temperatures (above 100 deg C)
and used for process steam or drying duties. This is more valuable and
flexible than low-grade waste heat, but there is a slight loss of power
generation. The increased focus on sustainability has made industrial CHP more attractive, as it substantially reduces carbon footprint compared to generating steam or burning fuel on-site and importing electric power from the grid.
Utility pressures versus self generated industrial
Industrial
cogeneration plants normally operate at much lower boiler pressures
than utilities. Among the reasons are: 1) Cogeneration plants face
possible contamination of returned condensate. Because boiler feed water
from cogeneration plants has much lower return rates than 100%
condensing power plants, industries usually have to treat
proportionately more boiler make up water. Boiler feed water must be
completely oxygen free and de-mineralized, and the higher the pressure
the more critical the level of purity of the feed water.
2) Utilities are typically larger scale power than industry, which
helps offset the higher capital costs of high pressure. 3) Utilities are
less likely to have sharp load swings than industrial operations, which
deal with shutting down or starting up units that may represent a
significant percent of either steam or power demand.
HRSGs used in the CHP industry are distinguished from conventional steam generators by the following main features:
The HRSG is designed based upon the specific features of the gas turbine or reciprocating engine that it will be coupled to.
Since the exhaust gas temperature is relatively low, heat transmission is accomplished mainly through convection.
The exhaust gas velocity is limited by the need to keep head losses
down. Thus, the transmission coefficient is low, which calls for a large
heating surface area.
Since the temperature difference between the hot gases and the fluid
to be heated (steam or water) is low, and with the heat transmission
coefficient being low as well, the evaporator and economizer are
designed with plate fin heat exchangers.
Cogeneration using biomass
Biomass is emerging as one of the most important sources of renewable energy. Biomass refers to any plant or animal matter in which it is possible to be reused as a source of heat or electricity, such as sugarcane,
vegetable oils, wood, organic waste and residues from the food or
agricultural industries. Brazil is now considered a world reference in
terms of energy generation from biomass.
A growing sector in the use of biomass for power generation is
the sugar and alcohol sector, which mainly uses sugarcane bagasse as
fuel for thermal and electric power generation.
Power cogeneration in the sugar and alcohol sector
In the sugarcane industry, cogeneration is fuelled by the bagasse residue of sugar refining, which is burned to produce steam. Some steam can be sent through a turbine that turns a generator, producing electric power.
Energy cogeneration in sugarcane industries located in Brazil is a
practice that has been growing in last years. With the adoption of
energy cogeneration in the sugar and alcohol sector, the sugarcane
industries are able to supply the electric energy demand needed to
operate, and generate a surplus that can be commercialized.
Advantages of the cogeneration using sugarcane bagasse
In comparison with the electric power generation by means of fossil fuel-based thermoelectric plants, such as natural gas, the energy generation using sugarcane bagasse has environmental advantages due to the reduction of CO2 emissions.
In addition to the environmental advantages, cogeneration using
sugarcane bagasse presents advantages in terms of efficiency comparing
to thermoelectric generation, through the final destination of the
energy produced. While in thermoelectric generation, part of the heat
produced is lost, in cogeneration this heat has the possibility of being
used in the production processes, increasing the overall efficiency of
the process.
Disadvantages of the cogeneration using sugarcane bagasse
In sugarcane cultivation, is usually used potassium source's containing high concentration of chlorine, such as potassium chloride (KCl). Considering that KCl is applied in huge quantities, sugarcane ends up absorbing high concentrations of chlorine.
Due to this absorption, when the sugarcane bagasse is burned in the power cogeneration, dioxins and methyl chloride ends up being emitted. In the case of dioxins, these substances are considered very toxic and cancerous.
In the case of methyl chloride, when this substance is emitted and reaches the stratosphere, it ends up being very harmful for the ozone
layer, since chlorine when combined with the ozone molecule generates a
catalytic reaction leading to the breakdown of ozone links.
After each reaction, chlorine starts a destructive cycle with
another ozone molecule. In this way, a single chlorine atom can destroy
thousands of ozone molecules. As these molecules are being broken, they
are unable to absorb the ultraviolet rays. As a result, the UV radiation is more intense on Earth and there is a worsening of global warming.
Comparison with a heat pump
A heat pump
may be compared with a CHP unit as follows. If, to supply thermal
energy, the exhaust steam from the turbo-generator must be taken at a
higher temperature than the system would produce most electricity at,
the lost electrical generation is as if a heat pump were used to
provide the same heat by taking electrical power from the generator
running at lower output temperature and higher efficiency.
Typically for every unit of electrical power lost, then about 6 units
of heat are made available at about 90 °C. Thus CHP has an effective Coefficient of Performance (COP) compared to a heat pump of 6.
However, for a remotely operated heat pump, losses in the electrical
distribution network would need to be considered, of the order of 6%.
Because the losses are proportional to the square of the current, during
peak periods losses are much higher than this and it is likely that
widespread (i.e. citywide application of heat pumps) would cause
overloading of the distribution and transmission grids unless they were
substantially reinforced.
It is also possible to run a heat driven operation combined with a
heat pump, where the excess electricity (as heat demand is the defining
factor on utilization) is used to drive a heat pump. As heat demand
increases, more electricity is generated to drive the heat pump, with
the waste heat also heating the heating fluid.
Distributed generation
Most
industrial countries generate the majority of their electrical power
needs in large centralized facilities with capacity for large electrical
power output. These plants benefit from economy of scale, but may need
to transmit electricity across long distances causing transmission
losses. Cogeneration or trigeneration production is subject to
limitations in the local demand, and thus may sometimes need to reduce
e.g. heat or cooling production to match the demand. An example of
cogeneration with trigeneration applications in a major city is the New York City steam system.
Thermal efficiency
Every heat engine is subject to the theoretical efficiency limits of the Carnot cycle or subset Rankine cycle in the case of steam turbine power plants or Brayton cycle in gas turbine with steam turbine plants. Most of the efficiency loss with steam power generation is associated with the latent heat of vaporization
of steam that is not recovered when a turbine exhausts its low
temperature and pressure steam to a condenser. (Typical steam to
condenser would be at a few millimeters absolute pressure and on the
order of 5 °C/11 °F hotter than the cooling water temperature, depending
on the condenser capacity.) In cogeneration this steam exits the
turbine at a higher temperature where it may be used for process heat,
building heat or cooling with an absorption chiller. The majority of this heat is from the latent heat of vaporization when the steam condenses.
Heat output may be used also for cooling (for example in Summer), thanks to an absorption chiller.
If cooling is achieved in the same time, Thermal efficiency in a trigeneration system is defined as:
Where:
= Thermal efficiency
= Total work output by all systems
= Total heat input into the system
Typical cogeneration models have losses as in any system. The energy
distribution below is represented as a percent of total input energy:
Electricity = 45%
Heat + Cooling = 40%
Heat losses = 13%
Electrical line losses = 2%
Conventional central coal- or nuclear-powered power stations convert about 33-45% of their input heat to electricity. Brayton cycle
power plants operate at up to 60% efficiency. In the case of
conventional power plants approximately 10-15% of this heat is lost up
the stack of the boiler, most of the remaining heat emerges from the
turbines as low-grade waste heat with no significant local uses so it is
usually rejected to the environment, typically to cooling water passing
through a condenser.
Because turbine exhaust is normally just above ambient temperature,
some potential power generation is sacrificed in rejecting higher
temperature steam from the turbine for cogeneration purposes.
For cogeneration to be practical power generation and end use of
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Costs
Typically, for a gas-fired plant the fully installed cost per kW
electrical is around £400/kW (US$577), which is comparable with large
central power stations.
The EU has actively incorporated cogeneration into its energy policy via the CHP Directive.
In September 2008 at a hearing of the European Parliament's Urban
Lodgment Intergroup, Energy Commissioner Andris Piebalgs is quoted as
saying, “security of supply really starts with energy efficiency.”
Energy efficiency and cogeneration are recognized in the opening
paragraphs of the European Union's Cogeneration Directive 2004/08/EC.
This directive intends to support cogeneration and establish a method
for calculating cogeneration abilities per country. The development of
cogeneration has been very uneven over the years and has been dominated
throughout the last decades by national circumstances.
The European Union generates 11% of its electricity using cogeneration.
However, there is large difference between Member States with
variations of the energy savings between 2% and 60%. Europe has the
three countries with the world's most intensive cogeneration economies:
Denmark, the Netherlands and Finland.
Of the 28.46 TWh of electrical power generated by conventional thermal
power plants in Finland in 2012, 81.80% was cogeneration.
Other European countries are also making great efforts to
increase efficiency. Germany reported that at present, over 50% of the
country's total electricity demand could be provided through
cogeneration. So far, Germany has set the target to double its
electricity cogeneration from 12.5% of the country's electricity to 25%
of the country's electricity by 2020 and has passed supporting
legislation accordingly.
The UK is also actively supporting combined heat and power. In light of
UK's goal to achieve a 60% reduction in carbon dioxide emissions by
2050, the government has set the target to source at least 15% of its
government electricity use from CHP by 2010.
Other UK measures to encourage CHP growth are financial incentives,
grant support, a greater regulatory framework, and government leadership
and partnership.
According to the IEA 2008 modeling of cogeneration expansion for
the G8 countries, the expansion of cogeneration in France, Germany,
Italy and the UK alone would effectively double the existing primary
fuel savings by 2030. This would increase Europe's savings from today's
155.69 Twh to 465 Twh in 2030. It would also result in a 16% to 29%
increase in each country's total cogenerated electricity by 2030.
Governments are being assisted in their CHP endeavors by organizations like COGEN Europe
who serve as an information hub for the most recent updates within
Europe's energy policy. COGEN is Europe's umbrella organization
representing the interests of the cogeneration industry.
In the United Kingdom, the Combined Heat and Power Quality Assurance
scheme regulates the combined production of heat and power. It was
introduced in 1996. It defines, through calculation of inputs and
outputs, "Good Quality CHP" in terms of the achievement of primary
energy savings against conventional separate generation of heat and
electricity. Compliance with Combined Heat and Power Quality Assurance
is required for cogeneration installations to be eligible for government
subsidies and tax incentives.
Perhaps the first modern use of energy recycling was done by Thomas Edison. His 1882 Pearl Street Station,
the world's first commercial power plant, was a combined heat and power
plant, producing both electricity and thermal energy while using waste
heat to warm neighboring buildings. Recycling allowed Edison's plant to achieve approximately 50 percent efficiency.
By the early 1900s, regulations emerged to promote rural
electrification through the construction of centralized plants managed
by regional utilities. These regulations not only promoted
electrification throughout the countryside, but they also discouraged
decentralized power generation, such as cogeneration.
By 1978, Congress recognized that efficiency at central power
plants had stagnated and sought to encourage improved efficiency with
the Public Utility Regulatory Policies Act (PURPA), which encouraged utilities to buy power from other energy producers.
Cogeneration plants proliferated, soon producing about 8% of all energy in the United States.
However, the bill left implementation and enforcement up to individual
states, resulting in little or nothing being done in many parts of the
country.
The United States Department of Energy has an aggressive goal of having CHP constitute
20% of generation capacity by the year 2030. Eight Clean Energy Application Centers
have been established across the nation whose mission is to develop the
required technology application knowledge and educational
infrastructure necessary to lead "clean energy" (combined heat and
power, waste heat recovery and district energy) technologies as viable
energy options and reduce any perceived risks associated with their
implementation. The focus of the Application Centers is to provide an
outreach and technology deployment program for end users, policy makers,
utilities, and industry stakeholders.
High electric rates in New England and the Middle Atlantic make
these areas of the United States the most beneficial for cogeneration.
The energy industry is the totality of all of the industries involved in the production and sale of energy, including fuel extraction, manufacturing, refining and distribution. Modern society consumes large amounts of fuel, and the energy industry is a crucial part of the infrastructure and maintenance of society in almost all countries.
traditional energy industry based on the collection and distribution of firewood, the use of which, for cooking and heating, is particularly common in poorer countries.
The increased dependence during the 20th century on non-renewable fossil fuel and nuclear power,
means that the energy industry has frequently been an important
contributor to pollution and environmental impacts of the economy. Until
recently, fossil fuels were the main source of energy generation in
most parts of the world, and are a major contributor to global warming and pollution. As part of human adaptation to global warming, many economies are investing in renewable and sustainable energy.
Energy consumption
in kilograms of oil equivalent (kgoe) per person per year per country
(2001 data). Darker tones indicate larger consumption, while dark grey
areas are missing from the dataset. Red hue indicates increasing
consumption, green hue indicates decreasing consumption, in the time
between 1990 and 2001.
In some industries, the word energy is used as a synonym of energy resources, which refer to substances like fuels, petroleum products and electricity
in general, because a significant portion of the energy contained in
these resources can easily be extracted to serve a useful purpose. After
a useful process has taken place, the total energy is conserved, but
the resource itself is not conserved, since a process usually transforms
the energy into unusable forms (such as unnecessary or excess heat).
Ever since humanity discovered various energy resources available
in nature, it has been inventing devices, known as machines, that make
life more comfortable by using energy resources. Thus, although the
primitive man knew the utility of fire to cook food, the invention of
devices like gas burners and microwave ovens
has increased the usage of energy for this purpose alone manyfold. The
trend is the same in any other field of social activity, be it construction of social infrastructure, manufacturing of fabrics for covering; porting; printing; decorating, for example textiles, air conditioning; communication of information or for moving people and goods (automobiles).
Widespread demand for energy may encourage competing energy utilities and the formation of retailenergy markets. Note the presence of the "Energy Marketing and Customer Service" (EMACS) sub-sector.
The energy sector accounts for 4.6% of outstanding leveraged
loans, compared with 3.1% a decade ago, while energy bonds make up 15.7%
of the $1.3trillion junk bond market, up from 4.3% over the same period.
Management
Since the cost of energy has become a significant factor in the
performance of economy of societies, management of energy resources has
become very crucial. Energy management involves utilizing the available
energy resources more effectively; that is, with minimum incremental
costs. Many times it is possible to save expenditure on energy without
incorporating fresh technology by simple management techniques.
Most often energy management is the practice of using energy more
efficiently by eliminating energy wastage or to balance justifiable
energy demand with appropriate energy supply. The process couples energy
awareness with energy conservation.
Classifications
Government
The United Nations developed the International Standard Industrial Classification, which is a list of economic and social classifications. There is no distinct classification for an energy industry, because the classification system is based on activities, products, and expenditures according to purpose.
The Global Industry Classification Standard used by Morgan Stanley
define the energy industry as comprising companies primarily working
with oil, gas, coal and consumable fuels, excluding companies working
with certain industrial gases.
Environmental impact
Government encouragement in the form of subsidies and taxincentives for energy-conservation
efforts has increasingly fostered the view of conservation as a major
function of the energy industry: saving an amount of energy provides
economic benefits almost identical to generating that same amount of
energy. This is compounded by the fact that the economics of delivering
energy tend to be priced for capacity as opposed to average usage. One
of the purposes of a smart grid infrastructure is to smooth out demand so that capacity and demand curves align more closely.
Some parts of the energy industry generate considerable pollution, including toxic and greenhouse gases from fuel combustion, nuclear waste from the generation of nuclear power, and oil spillages as a result of petroleum extraction. Government regulations to internalize these externalities form an increasing part of doing business, and the trading of carbon credits and pollution credits
on the free market may also result in energy-saving and
pollution-control measures becoming even more important to energy
providers.
Consumption of energy resources, (e.g. turning on a light) requires resources and has an effect on the environment.
Many electric power plants burn coal, oil or natural gas in order to
generate electricity for energy needs. While burning these fossil fuels
produces a readily available and instantaneous supply of electricity, it
also generates air pollutants including carbon dioxide (CO2), sulfur dioxide and trioxide (SOx) and nitrogen oxides (NOx). Carbon dioxide is an important greenhouse gas which is thought to be responsible for some fraction of the rapid increase in climate change
seen especially in the temperature records in the 20th century, as
compared with tens of thousands of years worth of temperature records
which can be read from ice cores taken in Arctic regions. Burning fossil
fuels for electricity generation also releases trace metals such as
beryllium, cadmium, chromium, copper, manganese, mercury, nickel, and
silver into the environment, which also act as pollutants.
Best available technology
(BAT) offers supply-side efficiency levels far higher than global
averages. The relative benefits of gas compared to coal are influenced
by the development of increasingly efficient energy production methods. According to an impact assessment carried out for the European Commission, the levels of energy efficiency
of coal-fired plants built have now increased to 46-49% efficiency
rates, as compared to coals plants built before the 1990s (32-40%). However, at the same time gas can reach 58-59% efficiency levels with the best available technology. Meanwhile, combined heat and power can offer efficiency rates of 80-90%.
Politics
Since now energy plays an essential role in industrial societies, the ownership and control of energy resources plays an increasing role in politics.
At the national level, governments seek to influence the sharing
(distribution) of energy resources among various sections of the society
through pricing mechanisms; or even who owns resources within their
borders. They may also seek to influence the use of energy by
individuals and business in an attempt to tackle environmental issues.
The most recent international political controversy regarding energy resources is in the context of the Iraq Wars. Some political analysts maintain that the hidden reason for both 1991 and 2003 wars can be traced to strategic control of international energy resources.
Others counter this analysis with the numbers related to its economics.
According to the latter group of analysts, U.S. has spent about $336
billion in Iraq as compared with a background current value of $25 billion per year budget for the entire U.S. oil import dependence.
Energy security is the intersection of national security and the availability of natural resources for energy consumption. Access to cheap energy
has become essential to the functioning of modern economies. However,
the uneven distribution of energy supplies among countries has led to
significant vulnerabilities. Threats to energy security include the
political instability of several energy producing countries, the
manipulation of energy supplies, the competition over energy sources,
attacks on supply infrastructure, as well as accidents, natural
disasters, the funding to foreign dictators, rising terrorism, and
dominant countries reliance to the foreign oil supply. The limited supplies, uneven distribution, and rising costs of fossil fuels, such as oil and gas, create a need to change to more sustainable energy
sources in the foreseeable future. With as much dependence that the
U.S. currently has for oil and with the peaking limits of oil
production; economies and societies will begin to feel the decline in
the resource that we have become dependent upon. Energy security has
become one of the leading issues in the world today as oil and other
resources have become as vital to the world's people. However, with oil
production rates decreasing and oil production peak nearing the world
has come to protect what resources we have left in the world. With new
advancements in renewable resources less pressure has been put on
companies that produce the world's oil, these resources are, geothermal,
solar power, wind power and hydro-electric. Although these are not all
the current and possible future options for the world to turn to as the
oil depletes the most important issue is protecting these vital
resources from future threats. These new resources will become more
useful as the price of exporting and importing oil will increase due to
increase of demand.
Development
Producing energy to sustain human needs is an essential social
activity, and a great deal of effort goes into the activity. While most
of such effort is limited towards increasing the production of electricity and oil,
newer ways of producing usable energy resources from the available
energy resources are being explored. One such effort is to explore means
of producing hydrogen fuel
from water. Though hydrogen use is environmentally friendly, its
production requires energy and existing technologies to make it, are not
very efficient. Research is underway to explore enzymatic decomposition of biomass.
Other forms of conventional energy resources are also being used in new ways. Coal gasification and liquefaction are recent technologies that are becoming attractive after the realization that oil reserves, at present consumption rates, may be rather short lived.
Energy is the subject of significant research activities globally. For example, the UK Energy Research Centre
is the focal point for UK energy research while the European Union has
many technology programmes as well as a platform for engaging social
science and humanities within energy research.
Transportation
All societies require materials and food to be transported over distances, generally against some force
of friction. Since application of force over distance requires the
presence of a source of usable energy, such sources are of great worth
in society.
While energy resources are an essential ingredient for all modes of transportation
in society, the transportation of energy resources is becoming equally
important. Energy resources are frequently located far from the place
where they are consumed. Therefore, their transportation is always in
question. Some energy resources like liquid or gaseous fuels are
transported using tankers or pipelines, while electricity transportation invariably requires a network of grid cables.
The transportation of energy, whether by tanker, pipeline, or
transmission line, poses challenges for scientists and engineers, policy
makers, and economists to make it more risk-free and efficient.
Crisis
Oil prices from 1861 to 2007
Economic and political instability can lead to an energy crisis. Notable oil crises are the 1973 oil crisis and the 1979 oil crisis. The advent of peak oil,
the point in time when the maximum rate of global petroleum extraction
is reached, will likely precipitate another energy crisis.