Industrial-utility colocation for integrated process heat and power

Results are presented of a study which examined the economic merit of colocating industrial plants adjacent to fossil-fuel or nuclear power plants so that the utility power plants could provide both electric power and process heat to the industrial plants. This study shows that economics continue to favor industrial generation of steam and power (kW and/or hp) for those industrials having large demands for process steam at pressures of 200 psig or less. However, colocation with nuclear-fueled utility plants might prove economic for those industrials having steam demands at pressures in the 250 to 600 psig range. The economics, in this instance, are significantly influenced by the low cost of nuclear fuel relative to fossil fuels. Although the scope of this evaluation was limited to the tangible investment and operating cost considerations of colocation, there are many other factors requiring detailed study. Some of these include the additional environmental aspects of colocation, the influence of siting on the production and distribution costs of the goods produced, the probability of industrial process obsolescence and its impact on the economics of colocation, industrial growth and land-use policy, etc. (LCL)