1. MINISTRY OF ENERGY RUSSIAN FEDERATION Combined Heat and Power Technologies for Distributed Energy Systems

2. MINISTRY OF ENERGY RUSSIAN FEDERATION CHP Technologies Available and cost-efficient Applicable in distributed energy generation systems Highly efficient and reduce emissions of CO 2 5-30% in electricity generation in Russia, China, USA, Canada CHP reduces the need for transmission and distribution networks Average efficiency of power generation ≈40%, efficiency of co-generation is up to 90%

3. MINISTRY OF ENERGY RUSSIAN FEDERATION Global Trends in CHP Proposed new Directive on energy efficiency in the EU: “ CHP uses 30% less fuel for the same amount of heat & power” Emerging economies have started to promote CHP (India, China) IEA: “Some regions have strategically invested in CHP and district energy as a tool to meet broader energy and environmental objectives. However, there are many more countries that could benefit from greater investigation into CHP…”

4. MINISTRY OF ENERGY RUSSIAN FEDERATION Project Rationale: Why does Russia propose this project? To provide a comprehensive overview of the best practices in CHP relevant for APEC countries and To develop recommendations for CHP in insular and/or cold climate territories.

5. MINISTRY OF ENERGY RUSSIAN FEDERATION Project Rationale: Related work in Russia Collaboration with USAID and DOE to promote energy efficient CHP in municipal heating in the Russian Far East: Diagnostic assessment to identify priority needs in municipal energy plants; Development of project business plans for cost-effective improvements; Dissemination of results on technical, economic, policy and process lessons learned in Russia, APEC countries; Further engagement through APEC’s Cooperative Energy Efficiency Design for Sustainability (CEEDS) program.

6. MINISTRY OF ENERGY RUSSIAN FEDERATION Relevance for APEC Large proportion of insular territories where distributed energy systems help increase energy efficiency and security of supply; CHP can be used for heating (cold climate) and absorption chilling (hot climate); CHP is affordable, proven and at the same time has potential for future innovative development (CHP on renewables, multi-fuel CHP).

7. MINISTRY OF ENERGY RUSSIAN FEDERATION Relevance for Russia Cold and isolated regions; Limited financial resources and affordability of technical solutions are a key issue; Significant ecological benefits: CHP for black carbon elimination in the Arctic; Outdated energy infrastructure.

8. MINISTRY OF ENERGY RUSSIAN FEDERATION Project Outline Step 1: Collect the best practices in CHP use in APEC including current country priorities, plans and challenges, applications in insular and/or cold climate territories. Step 2: Prepare recommendations for increasing CHP deployment in insular and/or cold climate territories.

9. MINISTRY OF ENERGY RUSSIAN FEDERATION Project Timeline 01/2012- 03/2012 Research stage 03/2012- 06/2012 Recommendations for increasing CHP use in APEC 06/2012- 12/2012 Report Workshop in Russia Contributions from member countries are welcome!

10. Thank you for attention! MINISTRY OF ENERGY RUSSIAN FEDERATION