ENGINEERINGNET.EU -- High investments in equipment and low payback periods of up to 5 to 7 years notwithstanding, cogeneration is all set for a revival in Europe between 2014 and 2018.
Most countries across Europe are expected to increase their cogeneration capacity, mainly in the combined cycle form. Especially power plants seem particularly keen to invest in cogeneration because governments provide benefits for companies with higher cogeneration potential.
On the other hand rising concerns over climate changes have prompted the European Commission to plan for collective energy policies and promote energy efficiency directives.
In this regard, the combined heat and power (CHP) directive, emission credits and new emission reduction technologies are crucial to the success of cogeneration in Europe.
Under the CHP directive, Germany, Italy and Spain have made considerable strides in building a policy framework to support cogeneration, while Germany has set itself a target to double cogeneration capacity by 2020.
“The effective implementation of CHP policies and a focus on creating favourable conditions for cogeneration development are likely to drive the market in Europe,” notes Frost & Sullivan Industry Analyst Pritil Gunjan.
“In 2011, the EU identified cogeneration as the energy application that can make the largest-single contribution to achieving the region's greenhouse gas reductions, giving a huge thrust to the market.”
(photo : Air Liquide)
