***TXCHPI Going National, Becoming Cogeneration Industries Council***

The Texas Combined Heat and Power Initiative (TXCHPI) is joining forces with the World Alliance for Decentralized Energy (WADE) to form the Cogeneration Industries Council (CIC). The new organization will serve the nation's diverse and growing cogeneration power industry and its goal is to help drive the deployment of cogeneration (now often referred to as combined heat and power or "CHP") and distributed generation throughout the Unites States. The CIC's formation coincides with the growing need for more secure and reliable distributed power generation. Press Release

TXCHPI bestowed the annual CHP Awards at the CHP2013 & WHP2013 Conference and Trade Show. We congratulate the following individuals and organizations for their contributions to the CHP industry:

• CHP Champion - Rich Herweck, RobustEnergy
  
  Rich Herweck, President and CEO for RobustEnergy was recognized for being a tireless champion for CHP at the Capitol and beyond. Each Legislative Session for the past four sessions Mr. Herweck has visited all offices at the Texas Capitol and educated all 182 Texas Legislators about CHP and the economic and environmental benefits derived from its installation. Through the years he has also discussed CHP with countless state regulators and locally elected officials. His input, expertise and commitment to the industry has helped remove regulatory barriers and improve the market conditions for CHP in Texas.
  
  
• CHP Ally - Texas Association of Manufacturers
  
  The CHP Ally recognition is given to an individual, company or organization that forms an alliance with the CHP industry and takes action for the betterment of all. The Texas Association of Manufacturers formed their alliance with the CHP industry in Texas by supporting a change to the Texas Utility Code aimed at removing a regulatory barrier. The change allows cogeneration facilities to sell both electricity and heat energy to the same customer within the proximity of the facility. Prior to this change, cogeneration facilities could sell electricity to only one customer. Texas’ leading industries and manufacturers often need heat (typically in the form of steam) for their manufacturing or processing operations, and now cogeneration facilities will be able to more directly serve the heat and power needs of Texas’ leading industries thereby keeping the cost of power low. The measure is likely to spur economic development in situations where cogeneration can be effectively implemented. Press Release
  
  
• CHP Policy Champion - Texas Representative Dan Huberty
  
  The Policy Champion Award is given to an elected official, regulator or individual that helps promote positive public policy that advances the use of CHP. During the 83rd Texas Legislative Session, Rep. Huberty took on a complicated issue involving the Texas Utility Code and provisions in the code restricting the sale of both heat and electricity to multiple buyers. The restriction was often cited by energy project developer as a barrier because it would not to allow cogeneration facilities to maximize the operational efficiency of a potential project. Rep. Huberty passed changes to the Texas Utility Code. The changes will have a positive effect on Texas’ leading industries and manufacturers who need heat (typically in the form of steam) for their manufacturing or processing operations. The code now allows cogeneration facilities to more directly serve the heat and power needs of Texas’ leading industries, and the change is likely to spur economic development in situations where cogeneration can be effectively implemented. Press Release
  
  
• Project of the Year - TexStar Midstream T2 EF Project
  
  The combined heat and power industry and Texas CHP Initiative recognized the TexStar Midstream T2 EF Project as its Project of the Year. The TexStar Midstream Services T2 EF Cogeneration project is near Pettus, Texas, and involves captured heat from the turbine exhaust to process natural gas. This project is the first project to be permitted in Texas using a Permit by Rule (PBR) for CHP systems. This air permit by rule process was created to streamline regulations and it was expected to spur CHP projects. Most of the CHP capacity in Texas is associated with downstream oil and gas operations, but there is a vast potential for upstream and midstream gas processing projects like the 15 MW T2 EF Cogeneration Project. TexStar Midstream Services LP provides a full range of midstream services including the gathering, treating, and processing of natural gas and natural gas liquids, and plans to expand its T2 EF operation by an additional 45 MW to support its growing processing operations as well as to supply needed energy to the region.

The CHP2013&WHP2013 Conference and Trade Show, co-hosted by the Texas CHP Initiative, Heat is Power Association and the World Alliance for Decentralized Energy was well attended drawing nearly 275 participants representing over 180 organizations. The presentations given at the event addressed market enablers and financing, innovations and emerging technologies, state and federal policy changes and the growing demand for the energy security and resiliency offered by CHP and WHP systems in the industrial, commercial and institutional sectors.

As reported at the conference, there are over 4,400 MW of CHP currently being developed or are under construction and there is technical potential for many thousands more megawatts. The potential for WHP projects is equally impressive, with more than 11,000 MW available at industrial sites as well as gas compressor stations, landfills and locations where gas flaring is occurring.

The consensus among attendees is that combined heat and power and waste heat to power technologies are a significant part of the “all the above” energy strategy. They are a viable and reliable on-site clean energy option and the projects under development are proof that these systems are an integral part of a robust energy infrastructure.

Download: Presentations

Press releases: July 31 | Sept. 26 | Oct. 23

The Texas CHP Initiative welcomes new Gold Level member MP2 Power, Silver Level membernew Gold Level member Shah Smith & Associates, and Bronze Level member Broaddus & Associates. Expanding the Initiative's membership base ensures the organization's sustainability, improves services to members, and bolsters its legislative influence. Thank you for your support!

This month Texas Governor Rick Perry signed into law several bills that will directly and indirectly help advance the state's CHP market. (Press release, 6/19/13)
Relevant bills passed by the now-concluded 83rd Legislature include the following.

HB 1864authorizes the State Energy Conservation Office (SECO) to develop guidelines for how CHP is evaluated, as currently required by law, prior to the construction or renovation of government facilities deemed to be "critical" for emergency preparedness and emergency response operations. GC CEAC will assist SECO in the preparation of the CHP evaluation guidelines. [Bill language]

HB 2049 changes current law so that cogeneration facilities can now sell electricity to purchasers of thermal energy thereby maximizing operational efficiency and minimizing financial risk. [Bill language]SB 385makes changes to the long-term project financing mechanism known as Property Assessed Clean Energy (PACE). PACE provides low-cost, long-term financing for CHP, waste heat recovery, and other energy-efficient and water-efficient technologies on commercial and industry property. [Bill language]

The Texas CHP Initiative welcomes new Bronze level member Maven Power and individual members Darrell Hayslip (Narrow Gate Energy), Darrell Thornley (Shaw Environmental and Infrastructure), and William Williams (Altresco, Texas Tech University). Expanding the Initiative's membership base ensures the organization's sustainability, improves services to members, and bolsters its legislative influence.

Individual members: Darrell Hayslip (Narrow Gate Energy) Darrell Thornley (Shaw Environmental) William Williams (Altresco, Texas Tech)