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Distributed  generation system, is a system that generates power at the point of usage; unlike the centralized electricity generation, where power is generated at a remote place and then distributed to various locations using Power transmission  grids. The centralized systems became popular, due to its convenience, to transmit large power over long distances, under high voltage. However, there are several disadvantages, in centralized power generation and distribution. Most of these power generation plants are using fossil fuels, like coal, oil and gas, whose efficiency is only about 40%; which means, only about 40% of the heat value of the fuel used is converted into electricity, and the balance is a waste heat, discharged in the form of greenhouse gases, into the atmosphere. That is why; power station are the largest emitters of greenhouse gases, in the world. These plants are  not only the biggest emitters of greenhouse gases, but also a very inefficient, because bulk of the fuel is simply combusted and discharged into the atmosphere. With ever-increasing cost of oil and gas, these power plants are ‘white elephants’ that drain the oil and gas resources in the world and turn them into greenhouse gases. Such inefficiencies drive the cost of power high, and also increase the pollution levels. This unabated emission of greenhouse gas has to be curtailed.

At this juncture of global warming, and increasing energy cost, Governments and companies, should encourage distributed energy systems. The advantage with distributed energy systems is, when we generate energy  on site using a fuel, we can use the waste heat  in a productive way, thus increasing the power efficiencies from 40% up to 80-85%.This increase in efficiency, will result, is the reduction in the cost of energy. The power savings from distributed energy system varies  from 10% up to 80%. Industries and business who use continuous processes (24×7) and whose energy bill is substantial, are the ideal candidates for distributed energy systems. It is easier to adapt distributed energy system, with gaseous fuels, like natural gas and Hydrogen, than with liquid fuels such as diesel or solid fuel such as coal.

Distributed energy system can even be installed, using ‘Biogas’, where large quantity of  organic waste or waste water is available throughout the year, like dairy plants, breweries, municipal sewage systems etc.The power generated in DES system, is invariably a direct current (DC), which is usually converted into alternating  using rectifier,   before usage. But, part of this DC load, can be used directly in the form of Dc current, wherever necessary. For example, many consumers are using Light-emitting diode bulbs for lighting, to save energy. In distributed energy system, it is possible to use direct current for these applications because you can save a certain amount of energy in the process of converting DC to AC, and then again AC to DC.In fact, we can connect number of appliances directly  to  direct current.

In addition to the above advantages, we can utilize the waste heat  to generate steam, hot water, chilled water or space airconditioning.For example, if a distributed energy system generates  500 kw Electric power using natural gas, with an efficiency of 30%, the gas consumption will be about 1666 Kws.The remaining waste heat available is about 1166 Kws, which is equal to about 300 TR chilling capacity. This chiller can be used to air-condition an office space. The total efficiency of such system can be as much as 80%.We can reduce the cost of energy as much as 60% or more, in some cases.

Distributed energy system, is the best and cost-effective system to cut energy bills as well as to reduce Greenhouse gas Otherwise the power for air-conditioning has to come from the grid. It is a win situation, for everybody involved. Such system can also be used, with Hydrogen. In fact, the heat value of Hydrogen is much higher than any other fuel, such as coal, oil or gas. Hydrogen is the energy of the future that is not only clean but also sustainable.

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