Traditional power generation in large power plants, especially coal-fired power plants, is often inefficient: a large proportion of the waste heat generated is not used and instead released into the atmosphere, while efficiencies rarely exceed 50%. In addition, these power plants pollute the environment with a variety of pollutants, including carbon dioxide, sulfur dioxide, carbon monoxide, nitrogen oxides and mercury.

A key disadvantage of centralized energy generation is the distance between the energy source and the consumer, which leads to significant grid losses. In contrast, there are decentralized energy solutions such as combined heat and power plants (CHP), which supply both heat and electricity directly on site. These systems achieve impressive efficiencies of up to 100% and minimize grid losses by generating energy where it is needed.

Decentralized CHPs are increasingly replacing electricity from fossil fuels and are therefore making a significant contribution to reducing pollutant emissions. They make optimal use of the electricity and heat generated, thus preventing unnecessary energy losses. Surplus electricity can also be fed into the public grid and remunerated, making CHP an economically advantageous and environmentally friendly energy source.