Developments in micro power generation, or distributed small scale power generation, is now reaching a critical point and starting to show potential as an realistic power solution to centralised power generation. Developments in micro Combined Heat and Power units (Micro CHP) have been announced in the last 6 months in Australia, Germany and Japan.

Micro CHP units can provide backup power during grid outages, and support the grid in peak demand times. They increase the generating capacity without the need to build more centralised coal fired generators or nuclear power plants.  The green house gas emissions are up to 60% less compared to coal fired. And they provides hot water and heating to the home in addition to electricity.

In Germany, through a partnership between Volkswagen and green power supplier Lichtblick, micro CHP units are being rolled out to 100,00 homes. Using a Volkswagen gas turbine, the unit fits easily into a home’s basement, and is the size of a large fridge. Click here for more details.  The 100,000 power plants would generate 2,000 megaWatts of power, enough to replace 2 nuclear power plants. The cost of each power plant is €5,000 (approx AUD$8,000), and also provides hot water and heating.

In Japan, Honda has already installed their power plants into 50,000 homes.

In Australia, a fuel cell based micro CHP is available, called BlueGen. The first BlueGen unit has been installed at a VicUrban sales office in the Aurora Housing Development in the Melbourne suburb of Epping. VicUrban’s Aurora project is the first six-star energy-efficient community development in Australia. Go here for the press release. Neco is taking orders for the units; see here. According to the manufacturers of BlueGen (Ceramic Fuel Cells), a 2 kW solar panel array saves about 3 tonnes of CO2 in Victoria; a BlueGen system running constantly at 2 kW for a year will save 18 tonnes of CO2 in Victoria. However, the price for the BlueGen units is around $20,000 – $30,000 at the moment. The expectation is that the prices will go down to $8 to $10,000 once production scales up.

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