Cogen Costs and Returns
Average costs and typical returns of cogen power
Our Genverters (inverter generators) are not the cheapest combined heat and power generators on the market. While we use a modestly priced engine, the rest of the controls and electronics are high end to provide a longlasting, durable power solution for your business.
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Inoplex synchronous generators offer a more cost-effective alternative to the Inoplex Genverter to provide a practical power generation option for every budget. By choosing a synchronous generator you’ll lose some of the Genverter benefits, however, our aim is to find the best solution for your business, within your budget.
Average cogeneration system cost
- Inoplex 50 KW electrical Genverter - $80K
- Inoplex 67 KW electrical Genverter - $120K
- Inoplex 30 KW electrical Synchronous Generator - $50K
- Inoplex 50 KW electrical Synchronous Generator - $60K
These prices are subject to change and are to be used as a general guide only. They include:
- Supply of product, complete with heat exchangers, gas valves and Type B submission, grid protection and synchronisation relays and standard electrical utility submission, delivery within Victoria.
- Other delivery location pricing available upon request.
While the Genverters are more expensive than the synch generators, they are lower cost to install with simpler, lower cost grid connection. So, it's worth considering both options as it is normally the overall cost that matters. They are also more efficient and manage longer engine life than the synchronous generators.
The Inoplex CHP Genverters can be more easily connected to the grid with a basic grid protection relay added relatively inexpensively by your local electrician.
The Inoplex CHP Inverters can be treated similarly to rooftop PV using the Australian Standard AS4777 for grid tie inverters, so the approval process is much less difficult, lower risk and less expensive, tapping into the more streamlined PV approval process.
Connecting your power generation system to the mains grid can provide an added income, however, the decision to connect to the grid needs to be considered with connection costs in mind.
The Inoplex CHP inverter generators can be treated like a solar PV system using the more streamlined and simple process of connection and approval compared with other cogen systems.
Maintenance costs to power income
Another factor to consider when considering grid connection is the expected maintenance costs and ensuring the income stream from selling excess power back to the grid covers these ongoing expenses.
With some power generation systems, you could find that if the power utility is paying 8 cents per kW hour for your power and the maintenance costs of your system are 6 cents per kW hour, an earning capacity of the system at 2 cents per hour could make it unfeasible.
If your cost of maintenance is much lower, around 2.5 cents per kW hour such as the Inopex inverter CHP, then your gain is 8 cents (grid purchase) - 2.5 cents (maintenance) = 5.5 cents per KW hr (credit). This presents a much better, more viable, option for your business.
The key to exporting power is to have a low and predictable maintenance program, as per the Inoplex one (link here).
Ideally, the maintenance cost is less than half the per kW hour price which means the income will cover the ongoing maintenance costs of your system.
The Inoplex inverter CHP is designed to follow the needs of your business. It is designed to solve the old dilemmas about grid connections/service costs/electrical and thermal performances in a flexible manner that does not need elaborate customised site engineering. The smarts are built in!
Typical return on investment
Combined heat and power generators typically provide an ROI of 1 to 5 years, however, this is highly dependent upon your installation and business requirements.
Typical cost savings and benefits are:
- Power (peak and off-peak)
- Power factor
- Network Charges
- Green Charges
- heating (gas or electricity)
- Renewable energy certificates for electricity
- Carbon credits for heat
- Exporting power to the grid during peak demand periods
- Cost of back-up power generation eg diesel genset, controls, and diesel fuel
If you would like more information on the costs and return on investment for Inoplex CHP generators simply complete our enquiry form and our team will forward you the details.