Steam Turbines can reduce overall operating costs,
by utilizing the energy in fuel more
efficiently through either a turbine generator,
or a mechanical driver when replacing a Pressure
Reducing Valve (PRV).
- Large facilities such as medical centers,
universities, and office buildings that generate heat can use the waste heat
to generate electricity. These thermal users burn more fuel to make the heat
that was just thrown away, in doing so they throw away the potential to make
electricity, which is much more valuable than heat. Thermal users typically
generate their steam at relatively high pressures so that they can feed
their campus or large building with small steam pipes that carry a lot of
energy, due to the high pressure. When the steam reaches the building where
it will be used, and a pressure-reducing valve (PRV) is installed to lower
the pressure, making it suitable for producing hot water or steam that goes
to radiators or processes. The potential to make electricity is wasted. This
raises the cost of energy and pollution. A steam turbine can take that same
energy available, reduce the pressure, and turn it into valuable electricity
or power to drive equipment. A steam turbine does not consume steam; it only
reduces its pressure.
- Steam cogeneration is the simultaneous production of
electricity and useful thermal energy. This means that you can generate
electricity with the same steam you are now using for heating or a process.
Cogeneration has also come to mean using waste fuel for in-plant electricity
generation. Steam turbine generators make electricity or drive equipment by
converting a steam pressure drop into mechanical power to spin a generator.
High-pressure steam enters the turbine, drives the generator or other
equipment and exhausts at a lower pressure for use in plant heating or
process. Steam turbines save money by allowing you to produce your own
electricity for a fraction of the cost of utility power, or avoiding the
electricity cost in driving equipment.
- When you produce steam at pressures above 50 psig, and
then use it only for heat or a process, you have wasted an opportunity to
reduce energy costs by either generating electricity or driving plant
equipment. The steam pressure passed through a NESTCO turbine-generator
package or mechanical driver reducing the pressure is worth three to four
times the value of the heat removed from the steam. As an example of
potential savings, say you have a situation where you reduce 10,000 pounds
of steam per hour from 150 psig to 15 psig today, using a pressure-reducing
valve. Our turbine will produce 175-kilowatt hours of electricity every hour
for 1.27 cents per kWh, if your fuel cost is as above. If you are paying 4.0
cents per kWh from the electric company, this will save $4.78 per hour, or
$40,000 per year. Such an installation will typically cost about $100,000,
so it pays back the capital in less than 3 years. After that, you simply
have $40,000 less to pay for energy every year.
- There are options to consider, and it starts with a
NESTCO turbine generator or mechanical driver. Our engineers can help you
select a machine that will operate in parallel with your present pressure
reducing valves, and capture the potential of your steam to make or save
electricity. The turbine removes the pressure portion of the energy in the
steam you made, leaving just the heat that you need. This is an efficient
way to make electricity. 90% of the energy removed from the steam by our
turbine becomes electricity. If your boiler converts fuel energy to steam
with 85% efficiency, the overall efficiency of our turbine generators will
exceed 80%. Compare this to the 33% average utility industry. It all happens
because you will be using both the heat and electric potential always
present whenever fuel is converted to steam.
- The value of electricity is typically much higher than
your cost of making the extra steam. If you are paying $3.00 per million
British thermal units for your fuel, (typical natural gas price) adding a
million British thermal units of steam will cost you an extra $3.53. Our
turbine generator set will convert that million Btu's into 278-kilowatt
hours of electricity. At the average commercial price for delivered
electricity throughout the U.S. of 6.5 cents per kWh, you will have produced
electricity worth $19.64 with $3.53 worth of fuel. Most companies continue
to buy some power from the utility and use the utility as a supplement to
their cogeneration system. Since the typical cogeneration system is often
connected in parallel with the utility, you can buy as much electricity as
you need from the utility, just as you do now. Except with a cogeneration
system installed, you need to buy much less from the utility.
- Cogenerated power is cheaper because cogeneration
systems can achieve fuel efficiencies of up to 80%, whereas the best
utilities can do is about 40%. Any company with a significant process steam
use or surplus waste fuel. Many companies are unaware of their great
cogeneration potential. Cogeneration systems can be designed into new
boiler plants or can be easily added to existing boilers.
- In most cases, your existing boiler can be used to
make the steam for cogeneration if it is operated at 100 psig or greater.
The amount of fuel used depends upon the system design. The turbine
generator sets from NESTCO, for example, are ideal for use with oil or gas
boilers and increase fuel use by only a few percent. There is a cost in
steam used to power a turbine, but when the steam is already being generated
for use in the plant for a process, the overall costs for the facility
barely change. If you have a waste fuel such as wood, waste elimination of
waste disposal costs can be a very important benefit to also consider.
- When oil was inexpensive the need to generate power in
discrete locations was not financially sound. Beginning with the 1973-74
Arab Oil embargo electricity prices and fuel prices have risen. Many
companies are utilizing cogeneration. As utility rates increase, and they
will, more and more companies are adding cogeneration systems to their power
plants or replacing large electric motors. A small system generating of 50
kW may cost $30,000. Normally the payback on a cogeneration project, is
often between one and a half to three years. Payback is a function of
power, system price, and electric savings. The higher your current electric
rates, the shorter the payback. Also, since equipment price per kW declines
as power increases, the higher the power, and the more cost effective the
system.
- Steam turbines have a service life of 20-years
minimum; and the single stage turbines are designed for 3 or more years of
continuous duty at full load without shutting down for maintenance.
Generators feature a service life of 20-years.

