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POWER

POLAR

CHP Business Impact Scenario

Captain Cook Anchorage

Located in the harshest climate in the United States, the Captain Cook Hotel faces several challenges. Seasonal occupancy fluctuations, with occupancy dropping by half in winter. Coupled with the highest electricity rates and intense natural gas usage, revenue versus operational costs are impacted, making it hard to invest in sustainability projects.

However, Combined Heat & Power (CHP) systems could offer a solution by reducing electricity costs and natural gas consumption through cogeneration to offset revenue losses during the winter. Additionally, state and federal incentives, including the Alaska Energy Authority (AEA) Program, are available to support the implementation of CHP systems.

Key Benefits*

  • Electric Costs: CHP reduces electricity costs from $0.20 per kWh to $0.03 per kWh.

  • Natural Gas Costs: Supplies 65% of space and water heating through cogeneration, saving $123,550 annually in energy costs, including hedging.

  • EBITDA Impact: Boosts EBITDA by $1.3 million annually, $14.5 million over ten years, and increases asset value by $34.4 million.

How Will CHP Impact Your Business Performance?

Simply fill out some basic information and we will create a customized CHP Business Impact Scenario at no cost to you.

That's better than a free breakfast!

CHP Business Impact Scenarios use current energy data to make projections and exclude financing and incentives to estimate the Internal Rate of Return and Ten-Year Value. These figures are preliminary estimates, with more accurate projections to be determined by the Combined Heat & Power Primary Energy Accelerator.

Disclaimer: The CHP Business Impact Scenarios presented on this website are hypothetical and intended as examples of the potential benefits of Combined Heat and Power (CHP) systems. These scenarios are based on publicly available data, primarily from sources such as the U.S. Energy Information Administration (EIA), British Columbia Utilities Commission (BCUC), UK Department for Business, Energy & Industrial Strategy (BEIS), Deutsche Energie-Informationsdienst (EID), Statistics Finland (Tilastokeskus) and Greek Regulatory Authority for Energy (RAE). All findings and calculations have been independently derived without direct input or involvement from the property owners. Actual results may vary based on specific site conditions and operational factors.

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