Shaheen Legislation Would Reduce Operating Costs for Manufacturers and Support Energy Reliance

(Washington, DC) – Yesterday, U.S. Senator Jeanne Shaheen (D-NH) re-introduced the Heat Efficiency through Applied Technology (HEAT) Act, legislation that would address the major regulatory barriers hampering the deployment of heat recovery technologies, such as combined heat and power (CHP) and waste heat to power (WHP).  By making efficient use of energy that would otherwise be wasted, CHP and WHP systems help manufacturers save money in energy costs and make them more competitive. These technologies also reduce the demand on the grid, making the entire energy delivery system more reliable and less prone to blackouts.

“Energy efficiency is the cheapest and fastest way to address our energy challenges in New Hampshire and around the country,” said Shaheen. “Both combined heat and power systems as well as waste heat to power systems provide clean, efficient and reliable sources of local energy that will reduce pollution, create jobs and help make American businesses more competitive. These technologies are good for our economy and good for our environment, and we should be doing everything we can to spur their use.”

Combined heat and power is an energy-efficiency technology that allows a facility to generate its own electricity and thermal energy, and does so from a single fuel source. Waste heat to power is a technology that captures heat from an industrial process and uses that heat to generate power.

Senator Shaheen’s legislation would establish a federal framework to help states develop solutions to meet growing energy demands efficiently and economically through the use of CHP and WHP technologies. The hurdles for CHP and WHP include complicated procedures for connecting them to the grid, high rates and fees incurred from utilities, and air emission standards that do not encourage the efficient use of fuel.  Specifically, the HEAT Act would:

• Direct the Department of Energy along with the Federal Energy Regulatory Commission (FERC) to establish model best-practices that address regulatory barriers to CHP and WHP. States would be encouraged, but not required to adopt these best practices.

• Create a targeted, voluntary grant program to help states implement the most recent Environmental Protection Agency guidance on output based emission standards, which encourages the efficient use of fuel through CHP and WHP.