A thesis submitted in partial fulfillment of the requirement for the degree of Master of Engineering

Thesis (M.Eng.) - Asian Institute of Technology, 1994

With the economic development, the energy consumption is increased fast. The shortage of energy occurred in China, especially in industrial sectors. This study analyzes case--power and heat supply in Hefei Chemical Plant (HCP) in P. R. China--to select an appropriate method of power and heat supply. Based on the fundamental situation of HCP, three options are established. They are the conventional mode, thermal match mode and electricity match mode. Thermal and electricity match modes include the cogeneration projects. And the conventional mode includes a heat generation project. Through the environmental, economic and financial analysis, electricity match mode is the best attractive, but it is the least of options from the view of technology and its investment and fuel cost are much more than those of other modes; thermal match mode is better than other options from the point of technical view, and its economic and financial parameters are better than that of electricity match mode except for the economic and financial net present value so it is competitive; evidently, the conventional mode is least beneficial of options. All projects in all options can bring some profit for HCP. Electricity match mode is recommended to supply power and heat in HCP. However, if a lot of funds can not be found, the thermal match mode may be selected to meet the power and heat demand in HCP.