Cogeneration systems – also called combined heat and power or CHP systems – generate both heat and power. Jenbacher CHP systems economically utilize the waste heat incurred during engine operation to generate overall plant efficiencies of more than 90%. This efficient form of energy conversion achieves primary energy savings of roughly 40% by using a gas engine cogeneration system instead of separate power and heat generation equipment. Transportation and distribution losses are also reduced or eliminated as the decentralized energy supply is set up where it is needed.