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Challenges for China Success for commercial CHP has been limited to Shanghai area – Allows grid interconnection – Provides natural gas fuel at reduced cost – Provides tax credits to compensate for installation cost We need pricing and policy changes for success nationwide – Grid Interconnection is #1 barrier. Need to allow small operators to generate their own on-site power while connecting to the grid. – Provide lower fuel costs as small operators do not have the strength to negotiate fuel contracts like large power plants. – Electricity from CHP plants should carry higher economic value. – Provide compensation for installation cost. Commercial scale CHP benefits the entire community, not only the business owner. – Small and medium-sized users need access to financing.PDF Image | Microturbine CHP and CCHP: Clean, Efficient, and Reliable Use of Natural Gas
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