Results | Table of Contents | EES - Electric


Conclusions and Recommendations

Comparison of Chiller Systems

Table 6.1 summarizes the annual energy costs, annual maintenance costs, and equipment costs for all the chiller systems considered in this study.

Table 6.1: Energy, Equipment, and Maintenance Costs ($)
Annual
Annual
Energy Cost
Maintenance
Equipment
System
(w-w/o Heat Rec.)
Cost
Cost
1000 Ton Electric Chiller
$53,797
$15,000
$175,900
1000 Ton Single Stage Absorption Chiller
$147,411
$12,000
$317,476
1000 Ton Double Stage Absorption Chiller
$88,838
$15,000
$571,458
1000 Ton Engine Driven Chiller
$50,456/$29,725
$23,220
$540,000
500 Ton Electric Chiller (lead) With
500 Ton Single Stage Absorption Chiller
$57,556
$13,500
$302,976
500 Ton Electric Chiller (lead) With
500 Ton Double Stage Absorption Chiller
$50,041
$15,000
$453,836
500 Ton Electric Chiller (lead) With
500 Ton Gas Engine Driven Chiller
$45,469/$43,369
$9,896
$404,400
500 Ton Electric Chiller (lead) With
500 Ton Electric Chiller
$47,896
$15,000
$228,800
500 Ton Gas Engine Driven Chiller (lead) 
With 500 Ton Gas Engine Driven Chiller
$43,886/$23,818
$23,220
$580,000
500 Ton Gas Engine Driven Chiller (lead) With
With 500 Ton Electric Chiller 
$46,313/$28,245
$28,325
$404,400

In Figure 6.1, the equipment costs of all of the chiller systems considered in this study are graphically compared.

Figure 6.1: Comparison of Equipment Costs for Chiller Systems

It can be seen that the 1000 ton electric chiller is the least expensive of the chiller systems considered for this study and, therefore, can be considered to be the base case for simple payback calculations. The most expensive chiller system is the one that consists of two 500 ton engine driven chillers.

Single Chiller Systems

Table 6.2 lists the annual operating costs for each of the 1000 ton single and multiple chiller systems considered. It lists the annual energy cost for the condenser water pump and cooling tower fan separately. If the chiller site is able to take advantage of the heat recovery offered by a gas engine driven chiller, that savings is credited to the chiller energy cost. Annual maintenance costs are also included to achieve a total annual operating cost.

Table 6.2: Annual Operating Costs for 1000 Ton Chiller Systems
  Pump and
Fan
Chiller
(W/O Heat Rec)
Chiller
(W/ Heat Rec)
Maintenance Total
Operating
1000 Ton Electric Chiller $ 15,979  $ 37,818  $ 15,000  $ 68,797 
1000 Ton Single Stage Absorption Chiller $ 21,249  $ 126,162  $ 12,000  $ 159,411 
1000 Ton Double Stage Absorption Chiller $ 32,220  $ 56,618  $ 15,000  $ 103,838 
1000 Ton Gas Engine Driven Chiller $ 14,917  $ 35,539  $ 14,808  $ 23,220  $ 52,945 
500 Ton Electric Chiller (Lead) 
with 500 Ton Single Stage Absorber
$ 6,773
$ 4,768
$ 32,136
$ 13,879
-
-
$ 13,500  $ 71,056 
500 Ton Electric Chiller (Lead) 
with 500 Ton Double Stage Absorber
$ 6,773
$ 4,765
$ 32,136
$ 6,367
-
-
$ 15,000  $ 65,041 
500 Ton Electric Chiller (Lead)
with 500 Ton Gas Engine Driven Chiller
$ 6,773
$ 3,131
$ 32,136
$ 3,429

$ 1,429 
$ 9,896  $ 53,365 
500 Ton Electric Chiller (Lead)
with 500 Ton Electric Chiller
$ 6,773
$ 2,981
$ 32,136
$ 6,006
-
-
$ 15,000  $ 62,896 
500 Ton Engine Driven Chiller (Lead)  $ 6,350  $ 30,976  $ 12,908     
500 Ton Engine Driven Chiller (Lead)
with 500 Ton Gas Engine Driven Chiller
$ 6,350
$ 3,131
$ 30,976
$ 3,429
$ 12,908
$ 1,429
$ 23,220  $ 47,038 
500 Ton Engine Driven Chiller (Lead)
with 500 Ton Electric Chiller 
$ 6,350
$ 2,981
$ 30,976
$ 6,006
$ 12,908
-
$ 28,325  $ 56,570 

Figure 6.2 compares the annual energy costs of the single chiller systems. The single stage absorption chiller's energy costs are far too expensive to be considered a competitive alternative to the 1000 ton electric chiller. Its energy cost is nearly three times more than the 1000 ton electric chiller or the 1000 ton engine driven chiller.

Figure 6.2: Annual Operating Costs for 1000 Ton Single Chiller Systems

The 1000 ton double stage absorption chiller is more expensive than these two systems also. Its energy cost for the pump and fan is double that of the same components for the engine driven and electric chillers. The double stage absorber requires much more pumping power than any of the other chillers studied. This is due to the unusually high pressure drop across the condenser and absorber, which may be particular to the specific manufacturer. A smaller head loss through the condenser/absorber of the two-stage absorber would require less pumping power; and, therefore, the cost for pumping would be less. This could make the double stage absorber a more attractive option.

The gas chiller that is most competitive with the electric chiller is the 1000 ton engine driven chiller. This chiller has lower energy costs, and, with the heat recovery option, the energy costs drop dramatically. The annual energy cost for the 1000 ton gas engine driven chiller drops from $50,456 (6.6% lower than the 1000 ton electric chiller) without heat recovery to $29,725 (81% lower than the 1000 ton electric chiller) with heat recovery. However, the annual operating cost for the 1000 ton gas engine driven chiller with heat recovery is $52,945 (only 30% lower than the annual operating cost for the 1000 ton electric chiller due to the high maintenance cost).

The equipment cost of the 1000 ton gas engine driven chiller is $540,000, much higher than that of the 1000 ton electric chiller, which is $175,900. If the site is not able to take advantage of the heat recovery option offered by the gas engine driven chiller, there is not much advantage to the gas engine driven chiller. Even though the annual energy savings of the 1000 ton gas engine driven chiller with heat recovery is $27,604, the payback is still about 23 years due to high maintenance and first time costs of the total engine driven chiller system.

Multiple Chiller Systems

Figure 6.3 compares the costs of the six multiple chiller systems. The total annual operating cost consists of the annual energy cost for condenser water pumps, the cooling tower fans, and the chillers for both the lead and lag chillers as well as the annual maintenance cost.

Figure 6.3: Annual Operating Costs for 1000 Ton Hybrid Chiller Systems

All of the multiple chiller systems, except the 500 ton electric chiller in combination with the 500 ton single stage absorption chiller, have less expensive energy costs than any of the single chiller systems. This is primarily due to the savings in pumping power. Instead of one larger pump, there are two smaller ones operating at a lower flow rate. Even though these multiple chiller systems have higher equipment costs than single chiller systems, they are generally preferred so that the chiller site will have redundancy and backup. A multiple chiller system is also preferred for maintenance reasons. During the low demand times, the building operator can take one chiller down for maintenance and still have the other one operating.

With heat recovery from the engine driven chillers, any of the multiple chiller systems incorporating a gas engine driven chiller have dramatically reduced energy costs. The annual energy costs of the hybrid system consisting of a lead electric chiller with a lag engine driven chiller reduce from $45,469 without heat recovery to $43,469 with heat recovery. The annual energy costs of the system of two gas engine driven chillers reduce from $43,886 without heat recovery to $23,818 with heat recovery. The energy costs of the hybrid system of a lead gas engine driven chiller with a lag electric chiller decrease from $46,313 without heat recovery to $28,245 with heat recovery.

Since the absorption chillers have little or no energy savings over the 1000 ton electric chiller and have higher equipment costs, this study will consider only the last four chiller systems as competitive alternatives to the 1000 ton electric chiller.

500 Ton Electric Chiller (Lead) with 500 Ton Gas Engine Driven Chiller (Lag)

The hybrid system consisting of a 500 ton lead electric chiller and a 500 ton lag gas engine driven chiller has annual energy costs of $45,469 without heat recovery from the engine driven chiller and $43,469 with heat recovery. Adding in the maintenance costs, the annual operating costs increase to $55,365 without heat recovery and $53,365 with heat recovery. With heat recovery, this results in a $10,428 annual energy savings and $15,432 annual operating cost savings over the 1000 ton electric chiller system. The equipment cost for this hybrid system is $404,400. This is $228,500 more than the 1000 ton electric chiller. The simple payback for the hybrid system consisting of a 500 ton lead electric chiller with a 500 ton lag engine driven chiller over a 1000 ton electric chiller is 14.8 years.

If the simple payback calculations are performed against the multiple chiller system consisting of two 500 ton electric chillers, then the payback period for this hybrid chiller system is 18.4 years.

Two 500 Ton Electric Chillers

The system consisting of two 500 ton electric chillers has an annual energy cost of $47,896 and an annual operating cost of $62,896. The annual energy savings of this system over the 1000 ton electric chiller is $5,901. The equipment cost of this system is $228,800. This is $52,900 more than the equipment cost of the 1000 ton electric chiller. The simple payback for a system consisting of two 500 ton electric chillers is 9 years.

Two 500 Ton Gas Engine Driven Chillers

The system consisting of two 500 ton engine driven chillers has the most expensive equipment costs of any of the chiller systems studied, $580,000 but with heat recovery, has the lowest annual energy costs of any of the other systems, $23,818. Adding in the maintenance cost, the annual operating cost is $47,038. The equipment cost for this system is $404,100 more than the 1000 ton electric chiller. The simple payback for the system of two 500 ton engine driven chillers is 18.5 years.

If the simple payback calculations are performed against the multiple chiller system consisting of two 500 ton electric chillers, then the payback period for this chiller system of two 500 ton gas engine driven chillers is 22 years.

500 Ton Engine Driven Chiller (Lead) with 500 Ton Electric Chiller (Lag)

The hybrid system consisting of a 500 ton lead engine driven chiller and a 500 ton lag electric chiller has an annual energy cost of $28,245 with heat recovery from the engine driven chiller. Adding in the annual maintenance costs, the annual operating cost is $56,570. The annual energy savings over the 1000 ton electric chiller is $25,552, but the annual savings on operating costs are only $12,227. This system's equipment cost of $404,400 is $228,500 more than the equipment cost for the 1000 ton electric chiller. The simple payback for this hybrid system is 18.7 years.

If the simple payback calculations are performed against the multiple chiller system consisting of two 500 ton electric chillers, then the payback period for this hybrid chiller system of a lead gas engine driven chiller with a lag electric chiller is 28 years.

Summary and Recommendations

All of the multiple chiller systems considered in this study, except for the hybrid system combining an electric chiller with a single stage absorber, have annual energy costs lower than those of the single chiller systems. With the heat recovery option offered by the four systems that use single gas engine driven chillers or a smaller gas engine driven chillers in combination with another chiller, their annual energy costs are lower than any of the other six chiller systems considered.

The most competitive alternative to the 1000 ton electric chiller, which has the lowest equipment cost, for meeting the cooling requirements of the building considered in this study is the system consisting of two 500 ton electric chillers. This system has an annual energy and operating savings over the 1000 ton electric chiller of $5,901. Its simple payback is 9 years. The most competitive hybrid chiller system is the one that incorporates a 500 ton lead electric chiller and a 500 ton lag gas engine driven chiller. This system has an annual energy saving over the 1000 ton electric chiller of $25,552, but its operating cost is only $15,432 lower than the operating costs of the 1000 ton electric chiller. Since its equipment and maintenance costs are so much higher, the simple payback is 14.8 years vs. the 100 ton electric chiller and 18.4 years vs. the two 500 ton chillers.

The electric and gas rates used in this study are representative of deregulated energy rates. Even though these rates may go as high as $0.80/kWh during the summer, this rate varies hourly and is only that high for a few hours at most. With the older, regulated electric rates, the gas engine driven chillers would have shown even greater energy savings over the electric chiller, but with these new rates, the electric chiller's economics have improved. With deregulated rates, the economic advantage of the gas chillers decreases. The payback period for the two 500 ton electric chillers is 9 years but could be preferred over the 1000 ton electric chiller for maintenance and backup reasons.

This study only considers hybrid chiller systems that consist of equally sized chillers. Other non-equal sized hybrid chiller systems should be studied; e.g., a hybrid system consisting of a 700 ton electric chiller and a 300 ton gas chiller or vice versa. These types of systems may yield different results.

Other operating strategies should also be considered; e.g, alternating which chiller operates as the lead chiller and which chiller operates as the lag chiller in a multiple chiller system. Better results might be obtained by baseloading the electric chiller in the winter when electric rates are relatively lower and baseloading the gas chiller in the summer when gas rates are relatively lower. Alternating the lead and lag chiller could also save on the maintenance costs by evening out the wear on the chillers.

It should also be noted that the results presented in the current study are highly dependent on weather data and energy rates. For this study, the only location and energy rate schedules that were considered were for the city of Atlanta. The results would be influenced by using the weather data and energy rates for another geographical location.

Finally, as deregulation of the utility industry progresses, the developing deregulated energy rates should be studied for more accurate and up-to-date energy costs for the various chiller systems.