Optimal operation of cogeneration plants in industry

The influence of the mode of operation on the economics of cogeneration plants in industry has been investigated by simulation analysis using detailed data on power demand and applicable time-of-use rates. A diesel cogeneration plant has been modelled. Nearly ideal performance of the control system is assumed, as may be expected with sophisticated computerized control systems. The details of the simulation algorithm are presented. A series of calculations for various cogeneration capacities may be used for investment planning. An example demonstrates that an industrial cogeneration plant is quite profitable if it is properly operated, whereas it might have been considered uneconomical if it were evaluated by conventional methods.