Recycled energy projects can bring in $500 per kilowatt thanks to a recent ruling by the Colorado Public Utilities Commission, according to EnergyEfficiencyMarkets.com.
The incentive, offered by Xcel Energy, will pay out over 10 years to companies utilize waste heat to process energy.
“The ruling—a first for the state—places recycled energy technologies alongside better-known renewables like wind, solar, biomass, and geothermal,” Christine Brinker, director of combined heat and power at the Southwest Energy Efficiency Project (SWEEP), said in the article. “These innovative and advanced technologies deserve attention because they produce electricity with no added emissions and no added fuel, making them just as pristine as wind or solar.”
Xcel Energy may now claim up to 20 megawatts of recycled energy in 2015 and eventually approach its goal of 30 percent recycled energy by 2020, in adherence to its renewable energy standard (RES).
Though Xcel will allow projects as large as 10 megawatts, there will be no minimum project size.
Facilities may allowed to use recycled energy to power their own operations or to sell. The goal is to reduce the payback period for investing in waste-heat recycling.
The incentive also aims to stimulate the use of community solar gardens, which will be able to supply Xcel an annual amount of 6.5 to 30 megawatts from 2014 to 2016 to help meet the company’s RES.