DOE Announces $40 Million in Funding for Combined Heat and Power

DOE Announces $40 Million in Funding for Combined Heat and Power

On July 8, the United States Department of Energy released a $40 million Funding Opportunity Announcement (FOA) for research, development, and demonstration of combined heat and power (CHP) systems – energy systems that produce both heat and electricity. CHP systems can reach conversion efficiencies of up to 80 percent — a significant improvement over the average 45 percent efficiency attained using conventional technologies to produce heat and power separately. According to the DOE Industrial Technologies Program, which will administer the grant program, CHP can play a vital role in reducing carbon emissions, enhancing energy security, and helping spur economic recovery. The energy savings potential of using CHP systems roughly equals Wisconsin’s entire power generation capacity (17,000 megawatts).

Grants will fund up to 50 percent of each project. The remainder must be financed through cost-sharing. Allocations will be broken up into the following three areas:

  • $15 million for large CHP systems, with capacity of above 20 MW.
  • $15 million for medium systems, with capacity from 1 MW to 20 MW.
  • $10 million for small systems, with capacity less than 1 MW.

To access an application, go to “Search Public Opportunities” on FedConnect and search Reference Number DE-FOA-0000016. Applications are due July 21.