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FROM
INSIGHT TO
IMPACT
CHP Business Value Assessment
Our customized Business Value Assessment (BVA) delivers a comprehensive evaluation of the financial and operational benefits of implementing a Combined Heat and Power (CHP) system. Designed for hotel investors, this assessment highlights how CHP can significantly lower utility costs, improve energy efficiency, and increase asset value—paving the way for sustainable growth and enhanced profitability.
The BVA delivers a Success Blueprint, providing hotel owners with key insights into the transformative potential of CHP —crucial for making informed decisions before embarking on any project.
METER
READERS
PROFIT
STEALERS
Phase 1: Current Utility Benchmarking
A detailed analysis of your hotel’s electricity and natural gas usage—segmented by demand periods—provides a clear, data-driven foundation for strategic improvement by:
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Revealing the true cost drivers behind your bills, including demand spikes, structural fees, and consumption patterns, so you understand exactly where and how energy costs accumulate.
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Identifying operational inefficiencies that highlight opportunities to optimize performance and prioritize initiatives with the greatest financial impact.
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Establishing a precise baseline that supports informed planning, enables objective evaluation of future strategies, and creates a reliable reference point to measure progress and results over time.
This baseline is critical for the next step: comparing “as-is” energy usage and costs with “to-be” estimates, which allows for precise forecasting of potential savings and operational improvements.
PIGS FLY
SAVINGS
SOARS
Phase 2: Future State Projections
These simulations define the full technical and financial potential of CHP and solar carport solutions, based on a 100% kWh-to-CHP conversion assumption. Key Deliverables are:
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System capacity & cogeneration output – shows total recoverable energy and cogeneration value
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Required system size at 100% conversion – determines optimal equipment, estimated cost, and federal incentives
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Future-state comparison – measures “to-be” performance against the current baseline and supports 10-year financial projections
This foundation then enables the next phase, where projected performance is translated into investor KPIs and return metrics for informed investment decisions.
MORE
TIME
MORE
VALUE
Phase 3: Long-Term Value Creation
The value creation phase takes the validated “as-is” and modeled “to-be” scenarios and extends them over a 10-year horizon. It incorporates expected electricity and natural gas pricing to translate operational changes into long-term financial performance and asset value impact.
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As-is vs. to-be cash flow projections comparing current performance to future scenarios, including operating savings and asset value growth.
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10-year investment metrics such as NPV, IRR, and Payback Period to clearly evaluate financial returns.
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Industry and brand benchmarks—energy use per square foot, ECAR, and carbon reduction targets—to align financial outcomes with sustainability objectives.
This approach allows investors to clearly see how CHP influences cash flow, risk exposure, and overall asset valuation before committing to implementation.
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.