Power and heat generation with combined heat and power (CHP)
Sustainable and decentralized energy supply with CHP systems
Wherever both power and heat are required simultaneously, the use of combined heat and power (CHP) is beneficial. CHP systems, as decentralized energy plants, provide a reliable and sustainable solution for the simultaneous generation of power and heat close to the consumers. They are flexibly adjustable and can respond to capacity shortages during periods of low sun and wind, as well as to overcapacity. They supply electrical power to the public grid when it is needed (residual load). This makes them the ideal partner for the expansion of renewable energy in the context of the energy transition.
Our CHP systems offer a highly efficient solution for adjustable power and heat supply. As an experienced partner, we support you throughout your CHP project, from planning to the construction of combined heat and power plants and large heat pump systems.
Available for you 24/7
Germany
International
Key benefits for your organization
Energy efficiency
CHP systems utilize the fuel used particularly efficiently, as they generate both power and heat. This results in higher overall energy efficiency compared to the separate generation of power and heat.
Controllability
CHP systems provide a reliable and continuous power supply, as they are flexibly adjustable and can supply electrical power to the public grid when needed.
Decentralized use
Since traditional power plants operate centrally, transmission losses often occur when energy is transported over long distances. CHP systems generate power and heat on-site, minimizing transmission losses and reducing the load on the power grids.
Sustainability
By enabling the use of alternative fuels such as "green" hydrogen, our technology makes a significant contribution to sustainable power and heat supply. The Caterpillar gas engine gensets are particularly suited for utilizing such fuels.
We deliver turnkey CHP systems
Combined heat and power plants (CHP plants) are one of the most well-known CHP systems
Combined heat and power plants (CHP) are used when both electrical and thermal power are required. For over 30 years, we have been delivering turnkey CHP plants, offering complete solutions, and building decentralized energy systems that generate power and heat in various performance ranges.
Our CHP plants consist of a gas engine genset that drives a generator to produce electricity. The gensets provide power outputs ranging from 0.4 to 4.5 MW. Additionally, by combining multiple gensets, we can build systems that exceed 4.5 MW.
Do you have any questions? We are happy to assist you in realizing your CHP system
Zeppelin Power Systems Solutions For Power & Heat
The operation of combined heat and power (CHP) explained simply

Gas is supplied to the engine of the genset along with air. The engine burns the fuel, drives the generator, and produces electricity.
1
1
During the combustion process, heat is generated and dissipated through exhaust gases, cooling water, and lubricating oil, or transferred to the heat sink.
2
2
Through the heat exchanger, the thermal output is transferred to the district or local heating network and transported to the consumers.
3
3
When the heating water has released its heat to the household, it flows back into the heat exchanger at a lower temperature, where it is reheated again.
4
4
The electricity generated by the Cat genset is fed into the power grid.
5
5
Gas is supplied to the engine of the genset along with air. The engine burns the fuel, drives the generator, and produces electricity.
During the combustion process, heat is generated and dissipated through exhaust gases, cooling water, and lubricating oil, or transferred to the heat sink.
Through the heat exchanger, the thermal output is transferred to the district or local heating network and transported to the consumers.
When the heating water has released its heat to the household, it flows back into the heat exchanger at a lower temperature, where it is reheated again.
The electricity generated by the Cat genset is fed into the power grid.
Make CHP systems even more efficient with large heat pumps

The role of large heat pumps in CHP systems
Large heat pumps are often used as an additional component in CHP systems to increase efficiency and improve overall performance.
They utilize low-temperature waste heat from the CHP process, which, due to its temperature level, would otherwise be released into the environment, and raise its temperature to a usable level. The heat made usable in this way can then be provided to the consumer.
This increases the efficiency of the CHP system and enhances fuel utilization, contributing to the overall cost-effectiveness. This can be a significant contribution to the decarbonization of heating networks.
Zeppelin Power Systems: Your general contractor for efficient energy systems
As a general contractor, we guide you through every step of your CHP system project and stand by your side as an experienced and competent partner. We develop concepts for both combined heat and power plants (CHP) and large heat pump systems, provide consultation, and take responsibility for the construction and maintenance of the systems.
Planning
- Consulting
- Concept Development
- Project Engineering
Engineering
- Electrical & Installation Planning
- Process Technology
- CAD-based Planning
Project Management
- Site Management
- Technical Procurement
- Quality Assurance
Plant Construction
- Electrical Installation
- Assembly
- Commissioning and Test Run
Service
- Maintenance
- Routine Servicing
- Troubleshooting Service
Operating modes of CHP systems
CHP systems can come in various sizes and configurations, ranging from small decentralized units to large industrial plants. To efficiently generate heat and optimize energy consumption, they are often used for self-supply, such as in industries, hospitals, or airports. Additionally, public utilities, such as municipal utilities, also use CHP systems to reduce heating costs.
CHP systems, or combined heat and power plants (CHP plants), most commonly operate in parallel grid operation. In this mode, the generator is integrated into the power grid and produces electricity alongside other power plants. These systems can be operated either heat-driven or power-driven.
In heat-driven CHP systems, the focus is on heat generation, which can supply individual buildings, district heating networks, or entire industries. The electricity generated alongside the heat is typically fed into the public grid.
Power-driven CHP plants are designed to produce as much electricity as possible and supply it to the public power grid. They are used when there is a high demand for electrical energy. The heat produced can either be dissipated unused or stored in large heat buffers.
Key Facts About Combined Heat and Power (CHP)
When is a CHP system worthwhile?
A CHP system is worthwhile for a company or a hospital as an on-site power generator if the company or facility has a simultaneous need for both heat and power. The economic viability of such a system is determined by the respective fuel and electricity prices.
Public heat supply companies can reduce their heating generation costs and produce the supplied heat more cost-effectively by selling the electricity to the public grid. In this case, both the revenue from the sale of electricity and government incentives (CHP subsidies) are key factors in determining the system's profitability.
Increasing use of fuel cell CHP systems
Fuel cell CHP systems are gaining importance due to their high energy efficiency and low emissions. The fuel cell technology within Combined Heat and Power (CHP) uses chemical reactions to directly convert hydrogen or other fuels into electrical energy. Just like in the conventional CHP process, the heat generated is captured and made available to the heat sink. This technology offers high electrical efficiency and low emissions, making it a promising option for decentralized power and heat generation.
Positive regulatory framework for CHP systems
Some regulatory frameworks promote the installation and operation of highly efficient CHP systems. The Combined Heat and Power Act (KWKG) in Germany supports the construction and operation of systems that generate both electricity and heat simultaneously, through fixed payments for the generated electricity and bonuses for particularly efficient systems.
Zeppelin Power Systems Industries
Customized CHP concepts for your specific requirements
Our combined heat and power (CHP) systems are used in a variety of sectors, including utilities, energy providers, municipal facilities, hospitals, and industrial operations. We understand that the requirements and challenges in these areas are diverse. Therefore, we develop tailored concepts specifically designed to meet the needs and operational processes of our customers.
Looking for support? We are happy to help.
Zeppelin Power System Services for power & heat
From maintenance to technical training: We are here for you
Show all Services for Power & HeatZeppelin Power Systems Resources for Power & Heat
Brochures and certificates for Power & Heat available for download
Show all Resources for Power & HeatZeppelin Power Systems Portfolio
Explore more from the Zeppelin Power Systems portfolio
Oil & Gas
Rail
© 2025 Zeppelin Power Systems GmbH