Onsite Power Generation
Distributed Energy Resources (DER)
What is happening to my energy bills?
In recent years, electricity has been adversely affected by renewable energy support costs. As a rule of thumb, less than 40% of UK electricity bills are comprised of actual electric commodity costs. The fact is that electricity is very expensive, and costs are set to continue to increase.
Whilst many organisations opt to install solar power, many sites are not suited to this solution. So, what are the options? One that is gaining in popularity is to use cheap, natural gas or bio-gas to generate power onsite, and now, with the new breed of small, high-efficiency gas fired generator sets, this option is gaining credibility and is available to power many sites that were thought to be unbale to generate onsite power.
In the meantime, gas prices have fallen significantly creating an opportunity to use natural gas or biogas for onsite generation.
Today’s state of the art, gas-powered generator sets deliver a continuous, economical, reliable, and sustainable source of power using natural gas, biogas or other gases.
Third Party Electricity Charges
In 2020, Electricity accounts for only 37% of an electricity bill.
The Principal Environmental Costs
Renewables Obligations (RO) 16.90%
Contracts for Difference (CfD) 6.62%
Capacity Mechanism (CM) 3.90%
Feed in Tariff (FiT) 4.95%
Distributed Energy Resources (DER) systems are small-scale power generation systems or storage technologies (typically in the range of 100 kW to 20 MW) placed at or near the point of use.
There are a range of technologies that fit this description ranging from Solar and Wind Power, Biomass, Fuel Cells and Combined Heat and Power (CHP).
What you need to know about reducing utility costs with onsite power generation and reduce CO2 emissions at the same time.
One of the more interesting developments that emerged strongly in 2020 is gas-fired generator sets. So, what’s behind it?
There have been continual and significant rises in UK Power Prices since 2018, at a time when the commodity cost of electricity has actually fallen in historical terms. Why?
Natural gas prices are at historic lows. There are abundant supplies and a high degree of competition in the market. In contrast, electricity prices continue to be impacted by non-commodity costs that, along with other non-energy costs, now form close to 65% of UK electricity bills. No matter how low the commodity element of electricity prices goes, retail prices do not drop correspondingly.
This means it is now considerably cheaper to generate your own electricity than acquire it from the grid. By doing so, you also eliminate and/or reduce many accompanying overheads such as transmission charges, losses, and capacity costs.
Gas fuelled generators have changed the landscape of the energy industry by reducing carbon and generating huge savings and/or income for their owners. Essentially, they utilise the cheaper cost of gas (anywhere from 1.7 pence to 3.8 pence per kilowatt hour (kWh)) to generate expensive electrical power (typically 12-18p/kWh). The heat which is usually lost at power stations can be recaptured and can also be used for either space heating or hot water requirements of the building. Dramatically reducing energy costs and in many cases generating income.
On-site power generation provides security, reliability, and revenue opportunities.
Guaranteed Energy Prices for 10 years
- Budget Security
- Fully Financed - No Cost
- Lower Energy Costs
- Increased Reliability of Supply
How does onsite power generation help me?
- Change driven by increasing demand.
- Greater reliance on small-scale, local power production.
- Renewable power generation is less predictable and less able to respond to short-term demand change – grid balancing is becoming more difficult.
Energy-efficient gas generators could become a key solution and would be considered a green source of power when used in conjunction with biogas, or a biogas supply contract. However, they will need to comply with emissions regulations
The current demand on the grid for flexibility and reliability can be positively affected by distributed generation, and gas engines will not only act as backup power support but provide a key ingredient of the entire distributed energy sector.
Design, supply and optimisation of on-site gas fueled generation
- Substantial reductions in electricity costs
- Reduced costs for heat and hot water
- Rapid Return on Investment (ROI)
- Environmentally friendly technology
- Full site evaluation confirms site viability
- Full installation and maintenance
Full O&M Included
Minimise risk with 24 hour Nationwide callout, Nationwide engineer network and 10yr cover.
MCPD, ESCo, EPC compliant.
Find out how you can generate your own power onsite with no Capital Expenditure (CAPEX) or ongoing Maintenance costs (OPEX) by using a custom designed Power Purchase Agreement.
The Power Purchase Agreement offers the following:
- Energy cost savings of up to 60% over 10 years.
- No capital expenditure for the customer
- No ongoing maintenance costs
- A fully funded Energy Centre unit is installed at the customer's premises
- Covering electricity grid connection and costs
- Power that is green electricity under the GHG protocol
- Price inflation that is linked to the Retail Price Index (RPI) instead of the energy market prices
- The generating set is available to purchase at the end of the lease period for a nominal amount, dependent on condition.
Battery Energy Storage Systems
The growth in onsite electricity generation has created demand for ways of storing surplus power for use on site.
Gas-fueled generator sets can produce electricity at very low costs and when this is not needed, adding an electric storage battery allows you to keep it in readiness to met future demand.
More information can be found on our battery storage page here.
Benefits of On-Site Power Generation and Battery Storage
- Avoid expense of purchasing power at peak prices
- Ensure supply to energy-critical sites
- Generate revenue by selling energy back to the grid
Clean Generation
On site energy generation using a natural gas generator (CHP)can save up to 40 percent in primary energy and produces up to 60 percent less CO2 emissions than conventional energy producers. The combustion of natural gas produces the lowest CO2 emissions compared to other fuels, as well as no soot emissions.
Post Covid, businesses are looking at methods of reducing costs and increasing business resilience. Generating your own power and heat is a great first step. The design, supply, and installation of an optimal generation system to ensure maximum benefit to meet the requirements of your site.
- Fully Financed
- Reduce Reliance on Buying Power at Peak Rates
- Increased Reliability of Supply
- Generate Revenue
State-Of-The-Art Remote Management Software
Full Cover – No Risk
Eco-friendly
Low emissions, up to 50% less CO2 produced than by conventional power plants.
Dependable
Proven technology, with thousands of successful installations worldwide.
Cost-effective
Low lifecycle costs from extended maintenance intervals and reduced oil consumption.
Autonomous
Supply and back-up guarantee in the event of blackouts or power failures.