Optimization of Location, Size and Operation of Various Combined Heat and Power Technologies in Heat and Electricity Distribution Networks

Due to favorable efficiencies, industry increasingly utilizes combined heat and power (CHP) units. This paper reviews options for optimal location, size and operation of various CHP technologies in heat and electricity distribution networks with given techno-economic-environmental constraints, which maximizd the economic profit of CHP technologies. In our cost benefit model, heat and electricity sold to customers, loss reduction of heat and electricity distribution networks, and cost reduction in required equipment investment are considered as benefits for the utility company and, the sum of costs for capital equipment investment, operation and maintenance, and environmental emission are considered as costs. We obtain the optimal values through use of a newly developed hybrid algorithm based on shuffled frog leaping algorithm and particle swarm. The simulation results show that combination of renewable and non-renewable CHP technologies increase yearly utility company economic profit by $ 134937.09. Internal combustion engines have no role in this combination due their high environmental emission costs