The measure will use one or more fuel cell units to meet some portion of electricity, heating and hot water needs in the building. Fuel cells convert a fuel to electricity with very high efficiency by an electrochemical process, rather than combustion. Typical units for commercial buildings use natural gas as a fuel source. Fuel cells produce heat energy roughly equal to the quantity of electric energy produced. This heat can be recovered and used for heating and hot water. Microturbines are high efficiency natural gas turbine generators for smaller applications such as building level generation, where heat from the generating process can be also be recovered and used for heating and hot water. Can the Council clarify whether or not credit can be taken for energy cost savings from on-site generation compared to purchased energy?
Follow the Reference Guide procedure for calculating virtual energy rates in order to calculate the cost contribution of the site-generated electrical power. This is the same procedure used to calculate other site-generated power such as photovoltaic or wind energy. Heat recovered is also treated as site-recovered energy. The fuel cost for the fuel cell must also be included in the input energy use. Applicable Internationally.