McLellan is committed to working with energy providers and users to reduce costs, deliver sustainable industry requirements and help meet our clients’ targets on reducing carbon emissions.
Combined Heat and Power (CHP) integrates the production of usable heat and power (electricity), in one single, highly efficient process and has a vital role in helping to reduce carbon emissions. The development and delivery into service of a CHP project requires a significant commitment in terms of resources and multidisciplinary design expertise. Proper management of the process is important if a CHP plant is to maximise the potential benefits to the developer.
Sound and rigorous understanding of the technical, commercial and organisational issues – particularly relating to the CHP and District Heating (DH) technology and end-user requirements – is key to a successful investment.
McLellan provides multi-disciplinary, professional engineering services to heavy industry, light industry and commercial facilities, power, manufacturing, education, ports and insurance sectors. Our capabilities include planning, design and project management of renewable and low carbon energy schemes.
We have extensive experience in strategy and planning, finance, commercial arrangements, engineering and the delivery of power generation projects – in particular with respect to CHP and DH schemes.
McLellan was responsible for designing the Woking Town Centre CHP station, which is one of the first commercially operating energy stations of its kind in the country. Our in-depth experience enables us to identify and develop the key aspects of a CHP & DH scheme including:
- Customer identification – Identifying and meeting potential customers to discuss their current supply arrangements and capture how and under what terms they would become part of the scheme.
- Technical scheme development – Identifying design elements required to determine the business case for the most appropriate and efficient route and phasing of the infrastructure considering wayleaves and known site infrastructure; ascertaining reserve heat capacity required, base and peak loads, heat cost, potential trajectory and procurement model for heat including security of supply and temperature requirements; and calculating carbon savings and cost per tonne of CO2 saved.
- Business model development – Determining the parameters of and details concerning inputs into a financial model for funds from different sources (e.g. wholly private funds, mixed funds or ‘soft’ funds) for the development of the scheme. Developing approaches to scheme ownership and management, in particular, which Energy Services Company (ESCO) arrangement can be brought in to ‘back’ the scheme and its funding and the degree to which any funding or ‘risk’ gap needs to be considered.
- Technical scheme design – Developing the engineering design of the project to a level necessary to obtain bids and ultimately lead to the successful construction and operation of the plant.
- Procurement and construction management – Management of the entire process from tenderer identification and prequalification, development of tender enquiry documents, processing and evaluation of bids, recommendation, negotiation with and contracting of preferred tenderer, project and construction management, commissioning and testing into service.