How Much Space Do You Need to Install a Cogeneration Unit?

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There’s a reason more facilities are choosing cogeneration in 2025. Not only does it help your business combat rising energy costs, but cogeneration (typically known as a combined heat and power (CHP) system) can boost your efficiency levels up to 80-90%, compared to around 50% for conventional energy use. Sounds like a great investment, right?

Before you adopt this new system, let's talk about your building's space. If you're considering installing a cogeneration unit, planning the right amount of space is important. The area you’ll need depends on the size and capacity of the system you choose, as well as the layout of your building and any additional equipment required for operation.

Sizing Up Your Space

For most commercial and institutional buildings, a typical cogeneration unit in the 50- 100 kW range will require at least 200 square feet of dedicated space in a mechanical room or basement. To be safe, plan for 300-400 square feet when including auxiliary equipment like heat exchangers and control panels. That’s about the size of a small conference room or a large one-car garage. 

This allocation ensures there’s enough room not only for the unit itself but also for safe access, maintenance, ventilation, and other system needs. Larger systems or those with added features may need even more room, so it’s important to consult with your service provider early in the planning process.

When evaluating your building, consider the following:

  • Accessibility: Make sure there’s enough clearance for technicians to perform regular maintenance and repairs.
  • Ventilation: Proper airflow is crucial to keep the system running efficiently and safely.
  • Future Expansion: If you anticipate growing your energy needs, allow for extra space now to avoid costly renovations later.

Allocating the right amount of space from the start will help ensure your cogeneration project runs smoothly and delivers the improved energy efficiency you expect. This is where you’d consult with a CHP specialist to assess your options and make the most of your available space.

Looking for a step-by-step guide? Check out our blog post on our cogeneration process, from design and permitting to maintenance.

Ready to Get Started?

If you’re unsure about your building’s requirements or want expert advice on system sizing and placement, Catalyst Power can perform a site assessment based on your business needs and provide tailored recommendations. Don’t leave your budget and energy strategy to guesswork—reach out to us today and let our Energy Experts help you maximize efficiency, save on costs, and unlock the full potential of cogeneration for your bottom line.