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DER Basics

Photo of 1800 Watt transportable photovoltaic system power station for FEMA

This portable photovoltaic (PV) power station was used by the Federal Emergency Management Agency (FEMA) in hurricane disaster relief efforts in North Carolina in 1998 and Puerto Rico in 1999.

Distributed energy resources (also called distributed generation, distributed energy, and distributed power systems) are small, modular, decentralized, grid-connected or off-grid energy systems located in or near the place where energy is used. They are integrated systems that can include effective means of power generation, energy storage, and delivery.

Benefits

The Federal government—the single largest energy user in the nation—stands to gain many benefits by using distributed energy resources (DER) and combined heat and power (CHP) systems at its facilities.

DER and CHP systems can be applied in a variety of applications to improve power quality and reliability; provide efficient, low-cost heat and power to a facility; and provide energy to off-grid or remote facilities. DER systems can also enhance energy security at a site by helping to diversify the energy supply and by providing prime power to mission-critical loads.

In addition, these systems benefit the local utility infrastructure by offsetting the need for capacity increases and by reducing congestion in transmission and distribution systems.

DER systems:

New legislation and policies, as well as existing federal energy management goals, are also driving increased interest in the use of DER and CHP systems. But where should federal agencies use DER systems to get the greatest benefit? To answer this question, FEMP has conducted market studies of federal opportunities for DER and CHP systems. The results indicate tremendous potential for cost-effective DER and CHP systems in the federal sector.

DER Technologies

Photo of the Capstone MicroTurbine (TM) system

Microturbines are just one of the technologies appropriate for DER applications.

Several different technologies can be used in DER projects. The right choice is determined by application, cost, environmental considerations, and system size. The following DER technologies are described on the U.S. Department of Energy's (DOE's) DER Web site:

The summary table below provides some preliminary cost, size, and emissions estimates for these DER technologies:

Summary of Cost and Performance Parameters for Distributed Generation Technologies
Technology Size Range (kW) Installed Cost ($/kW)b Heat Rate
(BTU/
kWhe)
Approx. Efficiency (%) Variable O&M ($/kWh) Emissionsa (lb/kWh)
NOx CO2
Diesel Engine 1-10,000 350-800 7,800 45 0.025 0.017 1.7
Natural Gas Engine 1-5,000 450-1,100 9,700 35 0.025 0.0059 0.97
Natural Gas Engine w/ CHPc 1-5,000 575-1,225 9,700 35 0.027 0.0059 0.97
Dual Fuel Engine 1-10,000 625-1,000 9,200 37 0.023 0.01 1.2
Microturbine 15-60 950-1,700 12,200 28 0.014 0.00049 1.19
Microturbine w/ CHP c 15-60 1,100-1,850 12,200 28 0.014 0.00049 1.19
Combustion Turbine 300-10,000 550-1,700 11,000 31 0.024 0.0012 1.15
Combustion Turbine w/ CHP c 300-10,000 700-2,100 1,100 31 0.024 0.0012 1.15
Fuel Cell 100-250 5,500+ 6,850 50 0.01-0.05 0.000015 0.85
Photovoltaics Limited by Available Space 7,000-10,000 -- N/A 0.002 0.0 0.0
Wind Turbine 0.2-5,000 1,000-3,000 -- N/A 0.010 0.0 0.0
Battery 1-1,000 1,100-1,300 -- 70 0.010 d d
Flywheel 2-1,600 400 -- 70 0.004 d d
SMES 750-5,000 600 -- 70 0.020 d d
Hybrid Systems 1-10,000 f e e e e e

a Nationwide utility averages for emissions from generating plants are 0.005 lb/kWh of NOx and 1.2 lb/kWh of CO2.
b The high end of the range indicates costs with NOx controls for the most severe emissions limits internal combustion technologies only.
c Although the electric conversion efficiency of the prime mover does not change, CHP significantly improves the fuel utilization efficiency of a DER system.
d Storage devices have virtually no emissions at the point of use. However, the emissions associated with the production of the stored energy will be those from the generation source.
e Same as generation technology selected.
f Add cost of component technologies.

The applicability of renewable energy technologies for DER systems depends on a number of things, like the local renewable resource, the cost of energy at the site, available financial incentives, and the specific application. To assist agencies in identifying solar energy technology potential at their facilities, FEMP has compiled maps of solar market potential at federal sites. For potential wind energy projects, see the Wind Powering America Web site.

Photo of small modular biopower system with development team

Small modular biopower systems, like Community Power Corporation's BioMax system shown here, are in the pre-commercial stages.

Non-renewable DER technologies, including reciprocating engines, combustion and microturbines, and fuel cells are largely fueled by natural gas, but can also use diesel and biodiesel fuels, anaerobic digester gas, biomass fuels, and even hydrogen as fuel.

DER systems can be used as retrofits in existing facilities, or designed specifically for a new facility. In either scenario, DER should be used with energy efficient products and practices, to maximize the benefits and reduce costs. The more you can reduce your energy requirements, the smaller (and less expensive) your DER system can be.