Combined heat and power is a highly efficient energy process that produces fewer combustion products per unit of energy output than traditional heat and power generation systems. This, in turn, has a beneficial effect in terms of air pollution and its consequences. Although installing a CHP system usually increases the fuel consumption on-site, the use of cleaner combustion plant sometimes results in an overall reduction in some of the pollutants produced. Furthermore, by generating electricity on-site, CHP also displaces the larger amounts of fuel used at central power generating stations, significantly reducing the emission of pollutants from this source.
The enviromental impacts are considered in sections for: