Northeast Clean Energy Application Center



A recent assessment of existing CHP in Connecticut finds a total of 479.2 MW of capacity at 78 sites. There are 15 sites in the industrial sector with a total of 337.6 MW (70%). The commercial sector accounts for 30% of the existing CHP capacity with 141.4 MW operating at 62 sites.

Connecticut is home to at least 3 sites utilizing CHP in the public housing sector. This information is highlighted in presentation materials prepared by U.S. Housing and Urban Development (US HUD) titled CHP for Housing and Community Development and authored by Bob Groberg, Director of Energy Division (CPD).

These sites are located in the following communities:

  • Danbury (Project Profile available from US HUD)
  • Seymour
  • Winsted.

A March 2004 study of DG Market Potential In Connecticut was prepared by the Institute for Sustainable Energy at Eastern Connecticut State University: Distributed Generation Market Potential:2004 Update/ Connecticut and Southwest Connecticut.

According to the study findings over a 10 year period, an additional 123 MW could be sited in Connecticut, assuming no change in current market conditions or technologies, to as much as 646 MW increase under optimistic assumptions about technological progress and significantly favorable changes in the regulatory and operating market conditions facing CHP project development.

The market penetration results were conducted under 4 sets of scenarios:

Current Technology (2014)
Advanced Technology (2014)

Base Case

Accelerated Case

Base Case

Accelerated Case

123.2 MW

503.6 MW

343.5 MW

645.6 MW

The accelerated case puts in place technology cost decreases of 2% per year over the 10 year study period, more favorable standby charges, a 10% capital cost reduction achieved by an investment tax credit (ITC) or some other incentive mechanism, a demand response payment and more favorable market response.

Base Case

Accelerated Case

Cost of Technology Remains Constant

Cost of Technology Decreases by 2%/ Year

Current CL&P Rates for Standby Charges

50% Reduction in CL&P Standby Charges

No Capital Cost Incentive Program

10% Capital Cost Reduction

No Demand Response Capacity Payment

Summertime DR Capacity Payment of $186/kW

Standard Market Response

Accelerated Market Response

The Advanced Technology case incorporated a much more favorable set of assumptions about technology improvements over time, leading to increased performance and lower initial and operating costs.