Unit-4

Energy conservation through Cogeneration and Tariff

Explain the need of co-generation plants help energy conservation

 Co-generation is the system which produces two forms of energy from one fuel. One of the forms of energy must be
heat and other may be electricity or mechanical.
 Figure represents a typical co-generation thermal power plant in such plants, coal in the pulverized form is burnt in
the boiler, which generates high pressure steam. This is applied to steam-turbine to produce mechanical power, as
turbine is connected mechanically to electric generator, it converts mechanical energy into electrical energy.
 The exhaust low pressure steam from turbine is generally condensed to water, which goes back to boiler
 Also the flue gases from boiler containing heat energy are exposed to atmosphere directly.
 Hence, the efficiency of conventional power plant is low and may be about 30-35%.
 The low pressure steam (exhaust steam from turbine) has large amount of heat, which is lost in condensing, if utilized
in either preheating of feed water or used for other factories, great energy saving can be achieved.
 At the same time flue gases from boiler going to Chimney can be used to heat other products of industry or houses or
passes through economizer to heat the feed water to boiler.
 The efficiency can be greatly increased. Such type of plants are termed as co-generation plants. It is estimated that
nearly 25000 MW of additional power generation is possible by Co-generation in India.
 Hence, it becomes necessary to install co-generation plants where it is possible.

Give Classification of Co-generation system on the basis of sequence of use and use of
technology.

Symbols Used:
1. Turbine unit similar to this symbol of compressor.
 It has rotary blades on the shaft and input energy is impinged on the blades converted into rotation i.e. mechanical
energy.
Generator Unit:

Coupled to turbine and rotated by turbine converting mechanical input into electrical output.

2. Coupling :

Two shafts are mechanically coupled (say turbine shaft and generator shaft) together for transferring mechanical
mechanical power from one machine to the other machine.

3. Boiler :

Dome, closed chamber boils water to form steam.

Three types of Co generation System :

1. Using steam turbine.

2. Using gas turbine.

3. Using reciprocating steam turbine

Note : The exhaust steam from the turbine (doing useful work of driving the generator to generate electric energy) is reused in

the plant itself to increase the efficiency or can be used in the plant or elsewhere for other purposes.

Co-generation Using Steam Turbine

Main equipments are: (1) Boiler, (2) Steam turbine, (3) Exhaust steam condenser, (4) Feed pump.
 Burning of coal in the boiler and heating the water at high pressure steam is produced which is fed to drive steam
turbine; in turn it drives the generator to produce electrical energy.
 After doing the useful work, the pressure of steam lowers down and low pressure steam is in the process chamber or
condenser.
 It may be taken out and used for other purposes.
 It can be condensed and fed back to the boiler. Efficiency of plant increases.
Advantages of Cogeneration Using Steam Turbine : Less cost, simple, no cooling water needed.
Disadvantages of Cogeneration Using Steam Turbine : Turbine size is large, more civil engineering cost.

Co generation Using Gas Turbine

In this case also exhaust gases having moderate pressure and high temperature can be used for processing and
supplied for other useful work. Thus co-generation is achieved. Afterwards the exhaust gases are liberated in the air
(open cycle type).

Main Equipments are : (1) Air compressor, (2) Combustion chamber, (3) Gas turbine, (4) Generator, (5) Process
consumer, (6) Heat Recovery Boiler (HRB).

Main work : Compressor compresses air goes to combustion chamber where fuel is fed and burn to produce gas at
high pressure. This high pressure gas goes to gas turbine which drives the generator to produce electrical energy.
Co-generation-Gas from gas turbine goes to heat recovery boiler (HRB) and this heat is usefully utilized other
purposes. Afterwards from HRB the gases are liberated to air.

Advantages of Co generation Using Gas Turbine:

1. Compact small size.
2. Simple design.
3. Any type of hydrogen fuel can be used for combustion
4. Installation work is simple, less time consuming.
Disadvantages of Co generation Using Gas Turbine :
1. Deposition of dirt dust on turbine blades reduced efficiency.
2. Blades of turbine be maintained or to be replaced.
3. Life of system in comparison is less.
Reciprocating Engine Co generation
 One of the types in such co-generation is spark ignition engine.
 Main parts of this system are : (1) Reciprocating engine, (2) Generator, (3) lube oil cooling system, (4) Engine cooling
system (5) Heat exchanger, (6) Stack.
 This is generally used in small Stack co-generation plants.
 Input is supplied as air, gas and oil which serves as heat input to the engine.
 Engine is reciprocating compression ignition type.
 Engine shaft is connected to the generator shaft and engine drives the generator which produces electrical energy as
an output.

Factors governing the selection of cogeneration system.

1. Heat to power ratio : The heat to power ratio of consuming system should match with the characteristics of of co-
generation system the co-generation system. It is represented on the basis of energy unit (kW). Heat power ratio
= Heat energy / Electricity required
2. Load pattern : It is necessary to consider the load pattern for the heat and power demand, while selecting the type of
co-generation system.
3. Type of fuel available : The selection of co-generation system also depends upon the type of fuel available for the
system. If the cost of fuel available for the system is low then the co-generation system selected give best results.
4. Quality of thermal energy required : The quality of thermal energy required depends upon the temperature and
pressure, hence it has a predominant role in determination of type of co-generation system.
5. System reliability : In case of a particular power consuming the co-generation system reliability is met important
factor. If suppose a very important step is involved in the power consuming system to which unavailability of co-
generation system may not be able to bear, in such cases, Co-generation system to be installed must be modular.
6. Electricity Buy-back : At the time of designing a co-generation system, we are required to know and think for the
local regulations for the buying of electricity from the co-generating system and selling of electricity to co-generation
system.
7. Grid dependent system and independent system : The technical configuration of grid dependent as co -
generation system is also dependent upon this factor.
8. Local environmental regulations : The type of fuel used will have different effects on environment that is if wood is
used as fuel for boilers it will develop more pollution in comparison to coal. A still further reduction particular fuel, we
have to see the environmental rules in that region. The environmental rules in urban areas may be different than sub-
urban areas and villages. In addition to above factors following are some of factors which influence the selection of
co-generation system.
9. Base electrical load matching : The co-generation system is designed to supply the base of minimum electricity
demand for the system. The remaining demand of power is purchased from the utility grid. This type of co-generation
is used for the required thermal energy.
10. Base thermal load matching : The co-generation system is designed to supply the minimum thermal i.e. the base
thermal energy requirement when the demand of heat is more than the base or minimum.
11. Electrical load matching : For such cases, where all the load requirement is to be supplied by the stand-by boilers
are used. co-generation system, the co - generators are designed in such a manner that total electricity required is
generated and supplied by it. Therefore, this co- generation system is totally independent of the electricity utility grid
and is called as ' stand alone system. Sometimes if required auxiliary boilers are used for heat energy
12. Thermal load matching : In this case, the co-generation system is designed in such a manner that it will generate
the total heat energy required for the purpose, if required electricity may be purchased from the utility grid.

Advantages of cogeneration
1. Co-generation system meets both electrical power and heat energy requirements.
2. It reduces cost of plant.
3. It provides additional competitiveness for industrial and commercial users.
4. Heat in the discharged steam from boilers can be used at affordable rate to domestic users.
5. Pollutants such as Co2, ash etc are reduced due to reduced fuel consumption.
6. High efficiency can be achieved in co-generation unit, as waste heat in flue gases or exhaust steam is utilized
properly.
7. A much more efficient use of primary energy is achieved with a separate generation of electricity and heat energy.
8. Natural resources can be best used for energy production.
9. It eliminates Co2 emission and reduces Co2, emission in case where natural gas is used as a fuel.
10. It requires less cooling water as the heat energy in waste is properly utilized, hence it reduces thermal pollution.
11. In co-generation, heat energy is byproduct, which can be used for other processes; this additional energy gained
which reduces cost of energy.
12. In some co-generation systems, biomass fuels, refinery gases, and agricultural waste as used as fuel. Hence it will
reduce the cost and reduces the problems of disposal of waste.
13. It offers decentralization in electricity generation hence it satisfies the needs of local consumers easily with high
efficiency.
14. Co-generation is a solution that gives benefits to all that the company, the users and the environment.

Tariff: Types of tariff structure: Special tariffs; Time-off-day tariff, Peak-off-day tariff, Power
factor tariff, Maximum Demand tariff, Load factor tariff.

Types of Tariffs:
(a) Simple rate tariff

(b) Block rate tariff

(c) Two part tariff

(d) Maximum demand tariff

(e) Power factor tariff

(f) Three part tariff.

(g) (i) Time-off day tariff, (ii) Peak-off day tariff

(h) Load factor tariff

(i) Availability Base Tariff (ABT).

(ii)

Study of these tariffs:

There are many forms of charging a consumer, but the following are the general methods which are commonly used :

(a) Simple flat rate tariff

(b) Block rate tariff

(c) Two part tariff

(d) Maximum demand tariff

(e) Power factor tariff

(f) Three part tariff

 (a) Flat rate tariff :

 This is the simple way of charging a consumer. In this form the consumer is charged a energy bill equal to energy charges per

unit multiplied by the total number of units consumed by the consumer.

 The form of tariff may be applied at different rates to the domestic light and fan consumer and the power.
 he main disadvantage of this form of tariff is that if a consumer does not uses any energy during a certain period he
will not be charged though the plant has some installed capacity reserved for him.
(b) Block rate tariff :
 This type of tariff uses a method of charging a consumer in blocks. Generally, block of first few units is charged at
high rate, then next block of some units is charged at low rate and a third block of remaining units consumed by him
is charged at still reduced rate.
 In Maharashtra, the electricity board uses this type of tort but in the reverse manner so as to reduce the consumption
of electricity for light and tan loads. It charges less for the first block and the rate increases toe the succeeding
blocks.
 The example may be as follows : Suppose that a consumer uses 100 units. He may be charged at ₹ 3/- per unit for
first 20 units, at ₹2/- per unit for next 30 units and at ₹ 150 for the remaining
 The advantage of this type of tariff is that the consumer is charged at low rate it he uses more electricity which will
increase the load factor of the system and hence cost of generation is reduced.
 The disadvantage is that it does not take into account the M.D. of the consumer.
(c) Two part tariff :
 In the two part tariff, the consumer has to pay his electricity bill , which consists of two parts, one part being energy
charges depending upon the maximum demand of the consumer and the other part consists of energy charges on
the actual energy consumed by him.
 Mathematically, Total charges = A x kW + B x kWh.
 The charges of kW M.D. and kWh consumed may be flat rate type or it can be block rate type. This system need a
M.D. indicator to be installed at the premises of the consumer, hence such type of tariff will be suitable to large and
medium scale industries
 When M.D. is not installed some arbitrary method is used to determine M.D. of the consumer from its connected load
and the billing is charged as per the calculated M.D.
(d) Maximum demand tariff :
 It is similar to two part tariff energy charges are computed on the basis of M.D. of the consumer and the actual
energy consumed by the consumer.
 In this type of tariff, a M.D. indicator is installed at the premises of the consumer and no arbitory means are used to
compute the M.D.
 This type of tariff is used for big industries. It is not suitable for small consumers and domestic light and fan
connections, as the cost of M.D. indicator for such consumers will be too high in comparison to energy bill which they
have to pay.
(e) Power factor tariff:
 Low p.f. of the consumer needs high current, increased capacity of plant low efficiency of machines and equipments
etc. Hence, it is necessary that the consumer be made to use electricity at high power factor otherwise he should be
charged more.
 This makes the supply agency to frame a p.f. based tariff.
Following are the types of p.f. tariff :
(i) KVA maximum demand tariff
(ii) Sliding scale tariff
(iii) kWh and KVAR tariff
 (i) KVA maximum demand tariff :
This type of tariff is a modification of two part tariff. The part consist of energy charged depending upon the KVA
maximum demand of the consumer. For reducing KVA maximum demand, the consumer will use machines and
equipments at high p.f. or will use the pf improving system. The other part will consists of energy charges based upon
the actual energy consumed by the consumer. In this case, also a block rate can be applicable.
(ii) Sliding scale tariff :
In this type of tariff, a datum value of the p.f. is fixed by the supply agency and a consumer is charged at certain rate
when he uses energy of this pf but if the p.f. of the consumer is less than above specified value he is penalized, at the
same time if he operates at higher power factor than specified, he is given certain discount in the energy bill.
(iii) kWh and KVAR tariff :
It is similar to KVA maximum demand tariff. In this type, the consumer is charged on the basis of KVAR and actual
energy consumption. If p.f. is low the KVAR will be high, hence he will be required to pay more
(iv) Three part tariff :
This type of tariff is a modification of two part tariff. It consists of three components for billing a consumer i.e. a fixed
charge, semi-fixed charge and running charge.
Mathematically, Energy bill = ₹ (A + B x kW + C x kWh)
Where,
A = Fixed charge, consisting of interest and depreciation on the cost of distribution of energy and labour cost of
official staff for collecting bills etc.
B = Charge per kW of M.D.
C = Charge per kWh of energy consumed.
This type of tariff is applied to very big consumers
(g) (i) Time-off-day tariff :
 The time-off-day tariff makes use of Time of Usage (TOU) metering, which involves dividing the day, month and year
into tariff slots.
 Then higher rates are applied for using energy at peak load periods and low tariff rates are applied for using energy
at off -peak load periods.
 By this way the consumer tries to reduce his load demand at peak hours to reduce his energy bills, the effect is the
load on the station is reduced, reducing peak load, which helps in planning of transmission, distribution and other
infrastructure of power supply system.
 For this purpose domestic variable rate meters can be used, which permit two tariffs i.e. peak tariff and off peak tariff.
In such installations, a simple electro mechanical time switch may be used.

(ii) Peak-off-day tariff :

 In this type of tariff, consumers are offered electricity during peak-off period of the day, so that generating plants
working at low loads can be made to work at high loads, reducing the cost of generation.
 Consumers using energy during off peak loads can be charged at low rates.
 In such cases, a timer switch with energy-meter can be provided which will cut-off supply to consumer during peak
hours of the day.
(h) Load factor tariff :
Load factor = Average load/Maximum demand
Maximum consumption possible = Contract demand kVA x Actual p.f. x Total number of hours in a month Load factor
of domestic consumer = 0.5.
Load factor of commercial consumer and industrial consumer = 0.5 +0.8
This will encourage the consumer to improve power factor

Application Of Tariff System To Reduced Energy Bills

(a) Time of use metering:

 The time of use metering (TOU) involves dividing the day, month and year into tariff slots.
 Energy used during peak load periods is charged at high rates and that used during off peak loud period charged at low rates.
 It affects on consumers to use less energy during peak load and more during off peak loads, which results automic
load control during peak load period.
 As the load demand is controlled, the supply agency can plan for their generation and transition infrastructure
approximately
(b) Domestic usage meter :
 Domestic variable rate meters allowing two tariffs i.e. 'Peak' loud and off peak load can be used to domestic
consumers.
 It will induce domestic consumers also to use power during off peaks loads and reduce their demand during peak-
load to achieve saving in energy bits reducing load demand.
 Such installation use simple electromechanical switch they are used in conjunction with electrical storage heaters.
(c) Getting benefit by improving energy efficiency :
 Consumers may install power factor correcting devices at their premises or installations to achieve benefits of higher
power factor as per tariff. Which will reduce load current demand .
 H.T. consumers are induced to use energy at high load factors so that plant capacity is best used and energy cost of
generation is reduced.
(d) Energy conservation by improving load factor :
 Load factor is defined as kWh delivered to a system in a particular period of time to total possible time to that could
be delivered by the system in the same designated period of time. Depending upon these period, the load factor may
be called as daily, monthly or yearly etc. The value of this factor is always less than one.
 When the load factor is improved, means made nearer to one, means for same maximum demand number of units
used are more or number of units generated are more, which reduces cost of generation per unit.
 The generation plant can operate its generating sets in such a manner, that their usage is constant and no peaks or
valleys exist in the load curve it will achieve a load factor of unity.
 Consumers should be offered at low rates if they use energy during off peak loads, so that load factor will be
improved, reducing cost of energy generated . The cost of labour per kWh of energy genera decreases as number of
units generated increases because the labour cost remains the same, irrespective e working of alternator at 25%,
50% or 100% load factor.
 Load factor can also be improved by reducing maximum demand on the plant.
 Load factor can also be improved by increasing production efficiency that is reducing losses in system.
 Load factor of the system can also be improved by making different consumers to shift their maximum demands
during different hours of the days.
 It can be improved by installing energy management systems.
 Maximum use of energy can be obtained by lowering peak demands along with keeping demand stable.
(e) Advantages and Economy achieved by Improvement of power factor :
It is always beneficial to both supplier as well as user of electricity to use power or supply it at higher power factor,
because :

 Load in kW supplied is increased hence capacity of prime movers as well as kW capacity of the generating plant is
better utilized or its kW capacity increases.
 kW capacity of the transformers as well as transmission and distribution lines increases.
 Efficiency of every plant increases.
 Cost of generation is reduced, hence energy charges are less.
 Due to improved p.f. current required to supply the same kW load is reduced, hence voltage drop is reduced,
improving the regulation of lines and alternator.
 Energy conservation by improving load factor and power factor
Power factor improvement is the fastest way of achieving energy conservation and improving the bottom line. Some
of the techniques included for the purpose are as follows :

1. Study of various types of loads.

2. Determination of the percentage of inductive loads.
3. Determination of transformer capacity.
4. Determination of power factor under full load conditions of transformer by calculating impedance
 From the data collected the KVAR required to improve the power factor to the desired value can be determined or
calculated.
 After this, it would be to determine the capacitor-banking pattern in the electrical system, depending upon whether the
loads are major or minor.
 Then, capacitors are installed at all major loads and finally to install capacitors for the fine turning of power factor,
preferably with the minimum banking pattern.
 Effects of current voltage, harmonics and temperature are to be considered as they produce degradations in
capacitors and contactors, but they remain unnoticed because the equipment operate silently in a corner, until a
severe breakdown occurs.